According to a report by foreign brokerage Morgan Stanley, Apple, the US-based iPhone maker, has experienced a substantial surge in its financial performance in India, with revenues soaring by nearly 42% to reach $8.7 billion in 2023. This growth is reflected in iPhone shipments, which increased by approximately 39% to 9.2 million units. Analysts from Morgan Stanley emphasized the growing significance of the Indian market for Apple, highlighting that India accounted for 4% of iPhone shipments and revenue, a notable increase from 3% in 2022 and just 1% five years earlier.
In the December quarter of 2023, Apple achieved a record-breaking revenue quarter in India. Additionally, for the first time, Apple led in revenue among smartphone brands in India for a calendar year, surpassing the 10-million-unit mark in shipments despite overall smartphone shipments in India remaining flat at 152 million units. The report by Morgan Stanley suggests a potential shift in the global market landscape, forecasting that if India continues its current growth trajectory and China’s iPhone shipments remain stagnant, India could surpass China as a larger iPhone market by 2027.
This forecast underscores the strategic importance of India in Apple’s global market strategy and its potential to become a key player in the company’s future growth. The Indian government has implemented measures to promote local manufacturing, directly benefiting companies like Apple. In January, the government reduced the import duty on mobile phone parts from 15% to 10%. This policy change aims to make the manufacturing of high-end premium smartphones more viable in India and aligns with Apple’s strategy to increase its production footprint in the country.