Apple wants the right to import and sell refurbished iPhones in India, according to a new report.
The company previously tried to roll out a similar scheme, only to have it squashed by a consortium of local smartphone OEM rivals. This time, however, Apple has the bargaining chip that it plans to manufacture iPhones in India working in its favor.
From the sound of things, Apple would be carrying out the refurbishment process in India, and has argued that it will soon have the manufacturing infrastructure needed to make them compliant with local quality standards.
The refurbished iPhones demand is one of a list that Apple has assembled, which also includes a 15-year tax holiday, as well as possibly banishing the detailed product information it is asked to print onto its devices — thereby cluttering up its minimalist design.
If Apple is given permission to sell refurbished handsets in India it will become the first company in the country allowed to import and sell used electronics. From Apple’s perspective, this could be an invaluable means of growing iPhone market share in a country where 70 percent of phones sell for under $200. Apple currently occupies just 2 percent of the market in India.
Many Western companies have long offered cheaper “India editions” of products to try and get extra customers. Apple has shown some willingness to do this — either by cutting iPhone prices to get them into more people’s hands, or by introducing lower-cost devices like the iPhone SE aimed at developing markets. However, this could be the most significant step yet.
Growing Apple’s presence in India has been a big goal over the past year. Tim Cook visited India for the first time last year, during which time he met with Prime Minister Narendra Modi.
The company has also announced its plans to invest $25 million in a new office complex in India, while additionally planning to open a new office in Indian tech hub Hyderabad that will focus on improving Apple Maps. Apple is currently set to start manufacturing iPhones in India by the end of April.
Source: Bloomberg
