Foxconn may start making iPhones in India to reduce costs

After shutting facilities down last year in India, Foxconn is reportedly considering a big return: Up to a dozen facilities which can reduce iPhone production costs.

A key manufacturer of iPhones in China is considering adding facilities in India.

Reuters reported Thursday that Foxconn is in talks with India's government to build up to a dozen factories and data centers by 2020, some of the former that could be used for producing Apple's iPhone and iPad devices.

Foxconn, which currently has 12 production facilities in its home country of China, might be able to decrease costs if it opens up shop in India. In turn, Apple could pass on such savings to consumers in the country where its iPhone is priced around 10 percent higher than Samsung's Galaxy S6 handset.

While Foxconn is contract manufacturer for many well known brands -- BlackBerry, Amazon, and Microsoft to name a few -- it's perhaps best known for being a company that builds iPhones and iPads for Apple.

The massive company has more than a million employees, most of which build consumer electronics devices in walled campuses where the production line workers live in dormitories.

Aside from potentially lower iPhone production fees, facilities in India could reduce shipping costs for those in the country buying Apple products. India's large population represents nearly as big an opportunity as China does for Apple, which has recently benefited from fast uptake of its larger iPhone 6 and 6 Plus handsets.

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