Apple explores chip assembly talks with Indian manufacturers

Apple is engaged in early-stage discussions with Indian semiconductor firms to handle the assembly and packaging of certain iPhone chips, ET reports citing sources familiar with the matter. This development represents a significant advancement in the supply chain for Apple’s Indian partners, potentially marking the company’s first move into local chip processing beyond device assembly.
Dia Rekhi for The Economic Times:
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Exploratory conversations have taken place between Murugappa Group-owned CG Semi, which is building an outsourced semiconductor assembly and test (OSAT) facility in Sanand, Gujarat, said the people cited.
“The companies are in the very initial stages of discussion,” one of them said. “It is not clear what chips will be packaged out of the Sanand facility at this stage, but it will likely be display chips.”
The person added that this may be the “beginning of an uphill climb” for CG Semi since if talks progress, it will have to pass Apple’s stringent quality standards to clinch the deal. “Apple is already in talks with several companies for a number of other supply chain functions, and very few will end up on their supplier list,” the person said.

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MacDailyNews Take: If finalized, such an agreement would represent a landmark victory for India’s rapidly expanding semiconductor sector, elevating local firms higher in Apple’s supply chain and accelerating the nation’s push toward advanced chip assembly and packaging capabilities amid global diversification efforts.

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