Apple Sales in India Hit Record $9 Billion as iPhone Demand Soars

Photo : AP

Apple Inc., the American technology giant, has reported its highest-ever annual sales in India, reaching nearly $9 billion in the fiscal year that ended in March. This represents a 13% increase from the previous year, when revenue stood at $8 billion, according to a source familiar with the matter who asked not to be named because the information is private.

The growth highlights the increasing demand for Apple’s products in India as the company expands its retail presence and strengthens its market strategy in the world’s second-most populous country.

iPhones Lead the Surge

The bulk of Apple’s sales in India came from its iPhone lineup, which remains the most popular among Indian consumers. In addition, demand for MacBook computers and other Apple devices has also grown steadily.

This surge in revenue comes at a critical time for Apple, which has seen mobile device sales plateau in other parts of the world. While India still represents a smaller share of Apple’s total business, the country is increasingly important to the company’s global growth plans.

Strategic Importance of India

India has become a key market for Apple, especially as sales in China, the company’s largest overseas market, face challenges. Revenue from China rose just 4.4% in the June quarter — the first increase in two years — but Apple continues to lose market share there to local competitors like Xiaomi Corp.

By comparison, India’s market is growing rapidly, fueled by rising incomes, a burgeoning middle class, and a desire for premium products. iPhones are often seen as status symbols in India, and currently hold around 7% of the country’s smartphone market, according to Tarun Pathak of Counterpoint Research.

Retail Expansion

Apple has been steadily expanding its retail footprint in India. This week, the company opened two new stores in Bangalore and Pune. Plans are also underway to launch a store in Noida, on the outskirts of Delhi, and another in Mumbai early next year.

Apple’s retail expansion has been gradual, partly due to local sourcing rules that limited the company’s ability to open its iconic stores in India for years. The rules eased in 2020, allowing Apple to launch its online store. Then, in 2023, Apple CEO Tim Cook inaugurated the first physical Apple stores in Mumbai and New Delhi, creating a strong base for the company’s growth in the country.

Pricing and Consumer Incentives

Apple devices remain expensive in India due to high taxes. For instance, the entry-level iPhone 16 is priced at 79,900 rupees ($906), compared with $799 in the United States.

To make devices more accessible, Apple has introduced measures such as:

• Student discounts

• Trade-in programs for older devices

• Partnerships with banks for credit card rebates

These initiatives have helped boost sales and attract more buyers. Tim Cook has repeatedly stated that India is one of Apple’s fastest-growing markets, reflecting the country’s rising influence in the tech giant’s overall business.

Manufacturing and Production in India

India is not only a key sales market for Apple but also a growing manufacturing hub. Currently, one in every five iPhones is made in India. Apple plans to use the country as a major source of devices for the United States market, reducing its reliance on China.

The company is expanding production across five factories in India, including two recently opened plants. This strategy is part of Apple’s broader effort to diversify its supply chain and meet global demand efficiently.

Apple’s record-breaking revenue in India signals a strong future for the company in the country. With rising consumer demand, expanding retail outlets, favorable manufacturing policies, and strategic incentives, Apple is positioning India as a critical pillar of its growth strategy.

As the company continues to strengthen its presence, India is likely to play a central role not only in sales but also in global production and innovation for Apple’s future products.