Google is making a significant investment in the southern Indian state of Tamil Nadu to set up smartphone production. The tech giant plans to assemble Pixel phones in the state, partnering with Taiwanese contract manufacturer Foxconn Technology Group. Google’s Wing subsidiary will also assemble drones in Tamil Nadu. This move is part of Google’s accelerated plans to manufacture devices in India, following the trend of companies like Apple Inc. pivoting away from China to mitigate geopolitical risks.
The decision is a boon for Tamil Nadu, which is keen on advancing into high-tech manufacturing and shedding its historical tagline “Detroit of India”. A team from the Tamil Nadu government, including the Minister for Industries T.R.B. Rajaa and senior executives, held talks with Google management in the US to pitch their state as a manufacturing location.
This shift of global technology players to India is potentially beneficial for Prime Minister Narendra Modi, as the country is currently undergoing elections to select new leadership. Modi’s production-linked financial incentives have helped attract electronics manufacturers to the country. Google’s move to start production of its Pixel 8 smartphones in India, without disclosing a location, was announced last year. Other tech giants like Apple and Samsung Electronics Co. have also set up assembly operations in the country.
Read more: Bloomberg