The Wall Street Journal reports that Apple is on the verge of a significant expansion of its iPhone sales effort in India, bringing on two large distribution companies to help bring the device to more points of sale. The iPhone has so far been available almost exclusively through mobile phone carriers in the country, but with the iPhone 5 reportedly launching next week, the company appears to be significantly expanding its operations.

A person who has knowledge of the plans says Apple will begin selling the iPhone through specialized distribution companies in an attempt to reach a wider audience, especially Indians who live in thousands of smaller towns.

The Cupertino, Calif. company has recently tied up the local operations of Ingram Micro Inc., a large U.S.-based distributor of technology, and Redington (India) Ltd., a local distributor with 12,000 smaller partners across the country, the person said.

Apple has existing relationships with the two distribution companies, using them to offer products such as the iPad but reportedly having held the iPhone back from them for fear of eating into profit margins.

iphone 5 coming soon
But with Apple's share of the mobile phone market in India falling by half year-over-year to 1.2% in the second quarter, the company may now be willing to sacrifice some profits in an effort to bolster its position in the country. Still, analysts believe that Apple's market share will remain low there given the premium pricing and the fact that over 70% of phones sold in the country are priced at under $100.

While Apple has been most heavily focused on China among emerging markets, there have been signs that the company is looking at the possibility of expanding its presence in India. Earlier this year it was reported that Apple was looking at opening retail stores in the country, but requirements for domestic sourcing of materials appear to be hindering those plans. In the absence of Apple-owned retail stores, the company earlier this year was also hiring staff for an effort to expand its reseller network in the country.

Related Forum: iPhone

Top Rated Comments

Winni Avatar
166 months ago
I think the Indian population is more concern about their every day standard of living than a cell phone.

I think you should travel the world first before you make wild assumptions based upon what you saw on underclass TV.
Score: 8 Votes (Like | Disagree)
colbertnation Avatar
166 months ago
Hey Eric Slivka, Arn, and MacRumors team,

I think it is important to mention in your articles about India and China some absolute numbers, on top of relative percentage numbers. While it is true that 70% of the phones sold in India are priced under $100, that also means that 30% of the phones sold are priced above $100. 30% might not seem like a lot, but if you put that in absolute terms, that represents 75 million handsets in India. (Source: Rediff Business article (http://www.rediff.com/business/slide-show/slide-show-1-tech-mobile-handset-sales-to-boom-in-india/20121011.htm)).

Also, it might be beneficial to include absolute population terms. If we assume that the iPhone 5 16GB version (being sold at say $800) is only affordable to say 3% of the total population of India, then it will not seem that much. To many uninformed people, it will simply be "3%?! That's it?! Why bother."

But in absolute terms, 3% of the Indian population represents 33 million people.

That's a potential customer base that can rival most European countries, only if looked on an absolute number scale.

That's why, my humble opinion is that MacRumors should include absolute numbers when talking about the two heavily populated countries like India and China. Thanks!
Score: 7 Votes (Like | Disagree)
BC2009 Avatar
166 months ago
How about we make a phone with a screen bigger than 4 inches of. I'm glad I switched to a bigger gs3. Tired of apples crap.

How about you stay on topic, I'm tired of this "bigger is better" crap. If you wanted bigger you should have got a decent phone like the HTC One X. At least the One X does not flex and creak in your hand when you grip it. Also the One X has a better display by a wide margin. Either way if you really switched from iPhone to GS3 (assuming you are not just making this up and trolling) and you actually liked your new phone then why bother posting? All these supposed people who "left Apple and haven't looked back" just can't seem to leave Apple alone. Yet JD Power customer satisfaction surveys say 94% of iPhone owners intend to buy another iPhone. Somehow the plethora of forum posts like these doesn't match up with reality. I suppose the entire 6% who are dissatisfied with Apple all have MacRumors accounts. :rolleyes:
Score: 5 Votes (Like | Disagree)
arjunj Avatar
166 months ago
Leave India to Nokia(Micro****) and Google. That's not a market worth pursuing. The country doesn't get quality, and the only ones I see buying this are status conscious rich kids and their daddies, and that's a handful of them left in India cos most of them have already flown the coop.

*applause* Where else do you see such wisdom, ladies and gentlemen?

I would like to thank you, kind sir, for taking the time out of your undoubtedly busy schedule to impart us lesser mortals with some much needed knowledge.

I could have sworn that India was one of the largest markets in the world for anything premium and seeing that every second person here seems to own something from the Apple product line, I would've considered it a massive untapped market for Apple. But obviously I was wrong - as you've told us, the country just doesn't get quality, right?
Score: 5 Votes (Like | Disagree)
hakuna-matata Avatar
166 months ago
India: post iPhone 5 prices of all phones:

iPhone 4 (8 gb) - 550$
iPhone 4s(16gb)- 780$
iPhone 5 (16gb) - 889$

Samsung Galaxy S3 - 629$
Samsung Galaxy Note 2 -694$
Htc One X (16 gb) - 589$

^^^daa *** is wrong with apple when it comes to pricing in India?? Do they go full retard or something??

Notice the difference between HTC One X and 2 year old iphone 4 (8 GB version)
Score: 4 Votes (Like | Disagree)
iKaushal Avatar
166 months ago
The problem with previous iPhone releases here in India was the price. Even though when the iPhone 3G, 3GS & 4 were released tied to the mobile operators, they didnt subsidise the phone a bit. Also their iPhone specific talk plans were a rip off or day light robbery.

With iPhone 4S Apple started to sell via operators frirst and then later via its authorised resellers, but again the prices were kept very high.

This has prevented the high penetration in Indian market.

If the iPhone was released like in USA at $199 (INR 11,000) tied to an operator, then it would had captured the marked and outsold any other smartphone here.

Sadly that was not the case...and hopefully Apple will rectify this problem by selling atleast the unlocked handsets with prices at par with Global unlocked handsets.

The earnings of most well educated Indians atleast in metros is pretty good and they can easily afford unlocked iPhones even at current sky high prices. i've seen lots of people with iPhone in India although their ratio compared to Android or BlackBerry is low. But with competitive prices from Apple, this will soon change.

I've used every model of iPhone from 2G to 4....skipped the 4S and now waiting to buy the 64 GB iPhone 5 on launch day.:apple:
Score: 3 Votes (Like | Disagree)

Popular Stories

iPhone 17 Pro Lower Logo Feature 1

iPhone 17 Pro Coming Soon With These 14 New Features

Monday June 30, 2025 1:08 pm PDT by
Apple's next-generation iPhone 17 Pro and iPhone 17 Pro Max are less than three months away, and there are plenty of rumors about the devices. Apple is expected to launch the iPhone 17, iPhone 17 Air, iPhone 17 Pro, and iPhone 17 Pro Max in September this year. Below, we recap key changes rumored for the iPhone 17 Pro models:Aluminum frame: iPhone 17 Pro models are rumored to have an...
Apple Watch Ultra Night Mode Screen

Apple Watch Ultra 3 Launching Later This Year With Two Key Upgrades

Wednesday July 2, 2025 1:13 pm PDT by
The long wait for an Apple Watch Ultra 3 appears to be nearly over, and it is rumored to feature both satellite connectivity and 5G support. Apple Watch Ultra's existing Night Mode In his latest Power On newsletter, Bloomberg's Mark Gurman said that the Apple Watch Ultra 3 is on track to launch this year with "significant" new features, including satellite connectivity, which would let you...
iPhone 17 Pro Lower Logo Magsafe

iPhone 17 Pro's New MagSafe Design Revealed in Leaked Photo

Wednesday July 2, 2025 8:37 am PDT by
The upcoming iPhone 17 Pro and iPhone 17 Pro Max are rumored to have a slightly different MagSafe magnet layout compared to existing iPhone models, and a leaked photo has offered a closer look at the supposed new design. The leaker Majin Bu today shared a photo of alleged MagSafe magnet arrays for third-party iPhone 17 Pro cases. On existing iPhone models with MagSafe, the magnets form a...
Wi Fi WiFi General Feature

iOS 26 Adds a Useful New Wi-Fi Feature to Your iPhone

Wednesday July 2, 2025 6:36 am PDT by
iOS 26 and iPadOS 26 add a smaller yet useful Wi-Fi feature to iPhones and iPads. As spotted by Creative Strategies analyst Max Weinbach, sign-in details for captive Wi-Fi networks are now synced across iPhones and iPads running iOS 26 and iPadOS 26. For example, while Weinbach was staying at a Hilton hotel, his iPhone prompted him to fill in Wi-Fi details from his iPad that was already...
iPhone 17 Pro in Hand Feature Lowgo

iPhone 17 Pro Max Battery Capacity Leaked

Thursday July 3, 2025 5:40 am PDT by
The iPhone 17 Pro Max will feature the biggest ever battery in an iPhone, according to the Weibo leaker known as "Instant Digital." In a new post, the leaker listed the battery capacities of the iPhone 11 Pro Max through to the iPhone 16 Pro Max, and added that the iPhone 17 Pro Max will feature a battery capacity of 5,000mAh: iPhone 11 Pro Max: 3,969mAh iPhone 12 Pro Max: 3,687mAh...
iOS 18

Apple Releases Second iOS 18.6 Public Beta

Tuesday July 1, 2025 10:19 am PDT by
Apple today seeded the second betas of upcoming iOS 18.6 and iPadOS 18.6 updates to public beta testers, with the betas coming just a day after Apple provided the betas to developers. Apple has also released a second beta of macOS Sequoia 15.6. Testers who have signed up for beta updates through Apple's beta site can download iOS 18.6 and iPadOS 18.6 from the Settings app on a compatible...
maxresdefault

New MacBook With A18 Pro Chip Spotted in Apple Code

Monday June 30, 2025 8:05 am PDT by
Apple is developing a MacBook with the A18 Pro chip, according to findings in backend code uncovered by MacRumors. Subscribe to the MacRumors YouTube channel for more videos. Earlier today, Apple analyst Ming-Chi Kuo reported that Apple is planning to launch a low-cost MacBook powered by an iPhone chip. The machine is expected to feature a 13-inch display, the A18 Pro chip, and color options...