The government has rejected Apple’s proposal to sell used phones in India, a major blow for the US-based brand. The decision will probably be happy news for its rivals in the country, given that they had mounted an angry campaign against the scheme.
An unnamed Telecom official has confirmed the news to Bloomberg without mentioning the exact reason why Apple’s plan had been struck down. To make matters worse, this is the company’s second go at getting that elusive license. If it had been approved, the company would have imported and sold refurbished iPhones in India.
The scheme would have allowed Apple to appeal to cost-conscious consumers without compromising on its premium image. The manufacturer currently commands only 2% of local phone shipments. It’s still hoping to move ahead with its plan to open single-brand retail stores here, though that application still has to get approved.
It’s possible the proposal was rejected due to the pressure exerted by the Mobile and Communications Council. The lobby group, composed of companies like Intex, Micromax and Samsung, had written a letter to the government demanding it reject Apple’s scheme. They believed that approving it could lead to excessive electronic waste and would defeat the aim of the Make In India program.
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Karbonn even termed the prospect as effectively turning Make in India into Dump in India. However, Apple is known to recycle over 85% of its devices, so it’s possible the firm’s plan wouldn’t have resulted in tons of e-waste here.