Taiwanese contract manufacturer Foxconn has won an order to make AirPods for Apple Inc (AAPL.O) and plans to build a factory in India to produce the wireless earphones, two people with direct knowledge of the matter told Reuters.
The deal will see Foxconn, the world’s largest contract electronics maker and assembler of around 70% of all iPhones, become an AirPod 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.
One source said Foxconn will invest more than $200 million in the new India AirPod plant in the southern Indian state of Telangana. It wasn’t immediately clear how much the AirPod order would be worth.