Pegatron, a Taiwan-based company, is in advanced talks with Tata to sell its own iPhone manufacturing facility in India. According to the agreement, which has Apples support, Tata will hold at least 65% of a joint venture that will run the Pegatron plant in the Tamil Nadu state of southern India, with the Taiwanese company holding the remaining shares and providing technical support.Conflicts with ChinaAbout 10,000 people work at the Pegatron India plant, which produces five million iPhones annually. It is one of the last facilities, as a year ago it lost control of an iPhone factory in China. Beijing and Washington continue to engage in geopolitical conflicts, so Apple is progressively attempting to diversify its supply chain outside China. The Chennai Pegatron plant will support Indias Tatas plans to manufacture iPhones.In addition to establishing a new plant in Hosur, Tamil Nadu, where Pegatron is expected to become a joint venture partner, Tata already runs an iPhone assembly plant in the neighboring southern state of Karnataka, which it took over from Taiwans Wistron last year.Pegatron not continuing with AppleAll of Pegatron Indias employees would transfer to the joint venture company after the negotiations between Tata and Pegatron regarding the factory, which are anticipated to happen in six months. It was unclear why Pegatron gradually stopped doing business with Apple, particularly in India. Pegatron stated last year that the purpose of the China plant sale was to raise money to optimize its business.Tata, Pegatron, and Apple havent given any comments on the deal from their sides.
