Apple's biggest data leak via Indian partner raises supply chain trust issues

A cyberattack on Tata Electronics, Apple's Bengaluru-based partner for iPhone parts and assembly, by hacking group World Leaks in June 2024 resulted in the leak of over 200,000 files on the dark web, described as Apple's biggest-ever leak. The incident has cast doubt on India's ambition to replace China as a manufacturing hub. Apple had been shifting production to India to avoid US tariffs on China-made goods, with India's iPhone production expected to rise from 6% in 2022 to over 25% by 2026, per Counterpoint Research. However, the leak exposed weaknesses in information governance, supplier discipline, and cyber-operational integration, according to UCLA supply chain professor Christopher Tang. Apple CEO Tim Cook had previously expressed optimism about India, citing lessons from China's scaling strategy. The attack raises questions about whether firms will reconsider relocating supply chains from China to India.