Foxconn's mega investment in Telangana & Karnataka: All you need to know

In what can be viewed as a decisive move to rely less on China, Foxconn plans to invest $700 million in a new plant in Karnataka and also set up a new manufacturing facility in Telangana.

Both these projects are among Foxconn’s biggest outlays to date in India. Together, these project have the potential to create 1 lakh jobs each in both states.

As per reports, Foxconn is planning to build the manufacturing facility on a 300-acre site near the city of Bengaluru, India’s IT hub, where it plans to manufacture iPhone components and may also assemble the devices.

This move also clearly underscores how China is at risk of losing its status as the world’s largest producer of consumer electronics.

Foxconn, also known by its official name Hon Hai Precision Industry, is the world's biggest contract electronics manufacturer and assembles gadgets for many international brands including Apple.

This comes as a big achievement for the Modi government, which has been actively trying to close India’s tech gap with China. And amid the West's souring relationship with Beijing, India has been looking to position itself as a parallel manufacturing hub. With Foxconn entering India in a big way, this will also pave the way for more ancilliary industries to set up shop in India as well.

India has offered financial incentives to Apple suppliers such as Foxconn, which began making the latest generation of iPhones at a site in Tamil Nadu last year.