Apple CEO Tim Cook will visit India this week and meet Prime Minister
Narendra Modi on the second leg of his Asian tour, two sources familiar with
the matter said, as the company seeks to revive sluggish iPhone sales.
The visit
is Cook's first to India as the head of the U.S. technology company, one of the
sources said. It was not immediately clear whether he would discuss importing
refurbished iPhones with officials in New Delhi.
A second
source said India was keen to know if Apple had plans to set up production facilities
for the local market, which would be a boost for Modi's "Make in
India" manufacturing push.
In an
interview earlier this month, Mr. Cook had said Apple sees a “huge
market potential” for its products in India and that it is “really
putting energy” in the country.
Apple has
also sent in a proposal to the Indian government for selling refurbished phones
in India. However, no official call has been made on the matter.
Addressing
analysts in a conference call, Mr. Cook had said that India presents a “really
great opportunity” but slow networks and the informal retail structure across the
country is holding the company back from realising its full potential.
Cook could also announce
its Make in India plans along with partner Foxconn. The Chinese electronic
manufacturer is reportedly scouting locations in Maharashtra where it could set
up a plant to manufacture Apple’s
devices.
While its
sales in China, its second-largest market after the U.S., fell 11 per cent, in
India iPhone sales were up 56 per cent from a year ago.
More than
100 million smartphones were sold in India last year and the market is expected
to grow by 25 percent this year, making India one of the fastest growing
smartphone markets in the world.
Samsung
led the India smartphone tally with 29 per cent share. Other top players
included Micromax (17 per cent share), Intex (10 per cent), Lenovo (8 per
cent), Reliance Jio’s Lyf (7 per cent) and Karbonn (5 per cent).
According
to the report, Apple in India recorded a stellar 62 per cent growth in the
first quarter from the year-ago period, though on a lower base.
Apple’s Make in
India plans, the setting up of Apple Stores and also inaugurate the company’s first
technology development center in India. Ahead of his visit, information on the
Apple Store plans have surfaced yet again, and reports also claim that Cook is
likely to announce an accelerator program for Indian startups.
The
report on ET states that Cook is keen on participating in PM Modi’s Startup
India and Digital India initiatives. In line with this, he is likely to
announce an ‘accelerator or incubator program for startups in India’. While
details are scarce, the move is expected to encourage developers and
entrepreneurs to come with unique ideas for apps and services built for the iOS
platform.
As for the information on
Apple Stores, it is but an extension of what is being reported for the past
couple of months. The company is expected to set up three stores in Delhi,
Bangalore and Mumbai within the next 18 months. Reports claim that one of the
stores in India will look like the iconic Fifth Avenue Apple Store in New York
City. The stores are expected to cover a floor area of around 3,000 square
feet, and some might even be so big as to cover around 10,000 square feet of
space. These stores will have space for tech support and small workshops, and
will require an investment of anywhere between $3 million to $5 million (Rs 20 crore
to Rs 33 crore approximately).
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