Chief minister of Karnataka, south Siddaramaiah announced incentives worth 6,970 crore rupee (US$799.4 million) for iPhone manufacturer Foxconn during the state budget speech on Mar. 7, 2025.

The incentives support Foxconn’s plan to build a smartphone manufacturing plant in the Devanahalli Industrial Area, with a planned investment of 21,911 crore rupee (US$2.51 billion). The facility will span 300 acres in Bengaluru Rural district.

Siddaramaiah also introduced a 300 crore rupee (US$34.41 million) fund-of-funds and a 100 crore rupee (US$11.47 million) corpus to support deeptech startups under the Local Economy Accelerator Programme (LEAP).

The initiative aims to create 500,000 jobs and expand startup hubs in Tier II and III cities like Mysuru, Mangaluru, Hubballi-Dharwad, and Kalburgi.

These announcements align with Apple’s strategy to boost production in India.

Reports suggest that Apple’s suppliers have started exporting components for electronic devices, including MacBooks and iPhones, to countries like China and Vietnam.

Recent Foxconn developments