The investment will create 25,000 jobs in the first phase,
K.T. Rama Rao said in a tweet.
Reuters in March reported that Foxconn had won an order to
make AirPods for Apple and planned to build a factory in India to manufacture
the products.
The deal will see Foxconn, the world's largest contract
electronics maker and assembler of around 70 percent of all iPhone models,
become an AirPods supplier for the first time and underlines efforts by the key
Apple supplier to further diversify production away from China. AirPods are
currently made by a range of Chinese suppliers.
Apple has been shifting production away from China, where
prior COVID restrictions disrupted the manufacturing of new iPhone models and
other devices. The tech company is also looking to avoid a hit to its business
due to tensions between Beijing and Washington.
Demonstrating the “Telangana Speed”, I am happy to announce the groundbreaking of first of Foxconn’s plants in Telangana at Kongar Kalaan today
— KTR (@KTRBRS) May 15, 2023
With an investment of over $500M it shall create 25,000 direct jobs in first Phase #Telangana #Foxconn pic.twitter.com/PHThJWxsfT
Foxconn in late March received approval from the Karnataka
government for a $968 million investment in the state.
The company said in March it planned to ramp up investment
outside of China and efforts to attract automakers to its contract
manufacturing business, after reporting weaker demand for consumer electronics.
Earlier this month, Foxconn said its revenue in April fell
11.77 percent year-on-year due to weakness in smart consumer electronics, and
expected business to drop this quarter. The Apple supplier said revenue last
month reached T$429.2 billion, in line with the company's own expectations. ©
Reuters