Apple Accelerates India Expansion with Retail, Manufacturing, and R&D Boost

Setting the Stage for Growth

In 2025, Apple is turning up the volume on its India strategy—signaling to consumers and competitors alike that the world’s most valuable company considers India a must-win market. Over the past year, Apple has quietly assembled square footage for at least six company-owned stores in key metros, green-lit a new engineering and R&D center in Bengaluru, and ramped up manufacturing partnerships in Tamil Nadu and Maharashtra. The message is clear: India is set to become more than just an assembly hub—it’s poised to become an innovation nucleus for Apple.

From Franchise to Flagship

Until recently, Apple relied on third-party franchisees for its Indian retail footprint—stores that faithfully showcased iPhones, Macs, and Watches in glossy malls. Now, look for full-blown Apple Stores—floor-to-ceiling glass facades, Genius Bars, Today at Apple sessions—in Bangalore’s UB City by mid-2025, followed by Hyderabad’s GVK One and Mumbai’s Bandra Kurla Complex later in the year. These flagship locations promise the curated customer experience global fans covet: hands-on demos, one-to-one tutorials, and community workshops to learn photography, coding, and music creation.

Deepening Local Roots

Beyond retail theatrics, Apple is doubling its manufacturing bets: Foxconn and Wistron have been instructed to significantly boost iPhone and iPad output for export and domestic sale. The company’s goal is twofold: mitigate global supply-chain risks and tap government incentives under the Production-Linked Incentive (PLI) scheme. In parallel, Apple’s procurement of Indian-made components—wireless connectors, casings, and battery modules—is rising, signaling a shift from “Made in India” assembly to genuine “Assembled & Sourced in India.”

An R&D Power Play

Perhaps most crucially, Apple is establishing a new R&D center in Bengaluru, staffed by hundreds of engineers focused on sensor development, machine learning algorithms, and wearable-tech innovations. This marks Apple’s first major engineering investment outside the U.S. in a decade. While details remain under wraps, expect the center to feed future Apple Watch health-monitoring features and India-tailored services like advanced Tamil and Hindi speech recognition.

Services and Ecosystem Expansion

Retail and manufacturing are only the visible tip of the iceberg. Apple’s services—App Store, Apple Music, Apple TV+, and iCloud—are poised for accelerated localization. The company is in talks with local banks for Apple Pay integration, and with telecom carriers to bundle Apple One subscriptions with data plans. By bundling hardware, software, and services, Apple aims to cement its premium pricing power (average selling price in India rose to over $900 in Q1 2025) while nurturing long-term subscriber relationships.

Challenges and Competitive Dynamics

Despite its bold moves, Apple must navigate price-sensitive consumers and fierce Android competition. Brands like Samsung, Xiaomi, and OnePlus continue to dominate volume segments. Apple’s answer: financing schemes, trade-in offers, and enhanced trade networks to make its devices more accessible. The rollout of e-SIM–enabled iPhones at ₹59,900 for the base model reflects Apple’s calibrated approach to India’s unique affordability dynamics.

The Road Ahead

By mid-2026, Apple plans to operate 15+ company-owned outlets, export over 30 million devices from Indian plants, and generate $10 billion in local revenue—up from $6.5 billion in 2024. If these targets are met, India could become Apple’s third-largest market globally, trailing only the U.S. and China. The stakes are high, but Apple’s India acceleration plan shows that Cupertino believes the real growth—and perhaps its next wave of innovation—will come from this dynamic, youthful, and digitally hungry market.