(MENAFN) Apple has unveiled ambitious plans to construct approximately 78,000 homes for its employees in India, as reported by the Economic Times on Monday. The project, which is set to receive partial funding from the government, will be a collaborative effort involving Indian conglomerate Tata, Taiwan-based major Foxconn, and Finnish firm Salcomp.
Foxconn, a key supplier to Apple, committed to investing USD1.5 billion in the initiative last year.
The company aims to build nearly 35,000 housing units for its workers at its factory located in Sriperumbudur, Tamil Nadu. Additionally, Tata Electronics is expected to construct 11,000 units as part of the comprehensive housing development plan.
According to the Economic Times, the housing project is anticipated to lead to increased recruitment and enhanced production capabilities. Such large-scale provision of housing for company employees has previously been witnessed in China, notably with Apple's 'iPhone City' in Zhengzhou, accommodating up to 300,000 workers. Clustering workers in housing complexes is believed to improve efficiency by minimizing commute times.
While the majority of iPhones are currently manufactured in China, Apple has been gradually shifting its production base to India and Vietnam. The move aligns with Apple's strategy to diversify its supply chain and tap into India's burgeoning market. In December last year, the Wall Street Journal reported Apple's intentions to manufacture approximately 50 million phones annually in India, signaling a significant expansion of its operations in the country.
Should Apple's plans materialize successfully, India could potentially produce a quarter of all iPhones by the end of the decade, marking a substantial milestone in the tech giant's global manufacturing strategy.
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