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Apple and Microsoft investments fuel India's push to become a tech manufacturing hub

Apple's new iPhone plant in Chennai and Microsoft's large data centre in Hyderabad are bolstering Prime Minister Narendra Modi's goal of turning India into an electronics powerhouse.

The launch of Apple’s first major iPhone factory in Chennai demonstrates the viability of large-scale tech production in India. Prime Minister Narendra Modi sees this as evidence that the country can compete with China on cost and reliability. At the same time, Microsoft opened its biggest Indian data centre in Hyderabad, betting on a market of over a billion internet users and deep technical talent. Both moves come as Washington seeks to reduce reliance on Chinese components. New Delhi is also exploring semiconductor manufacturing to further diversify its tech sector.

Why it matters

The investments signal India's emergence as a key alternative to China for global tech manufacturing and data services.

In this story

iPhone factorydata centreelectronics powerhousesemiconductor productionU.S. tech policyChinese componentstech talentinternet users