Foxconn Parent Company Hon Hai Buys Big Share of Sharp

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Hon Hai Precision Industry, parent of Foxconn, announced that it has acquired a 10 percent share of consumer electronics unit of Sharp, as well as almost half of the shares in LCD maker Sharp Display Products.

Hon Hai paid about $806 million, which is expected to provide the company with access to basically half of all LCD panels produced by the company. Given the increasing importance of display technologies, this could give Hon Hai and especially Foxconn a huge strategic advantage in computer electronics manufacturing.

Sharp, however, is currently especially focused on large-screen displays for TVs and has been hit with significant price declines that forced the company to dip deep into the red over the past twelve months. The company expects to report a loss of nearly $3.5 billion for the most recent fiscal year. With the help of Hon Hai, Sharp could enter the market for more profitable smartphone and tablet displays more easily, especially if Foxconn could directly offer a display supply to its customers. Increased demand would enable Sharp to decrease costs per units.

Foxconn assembles products for several leading IT companies around the globe, including Apple, Dell, Hewlett-Packard, Sony and Nintendo.

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Douglas Perry
10 Comments Comment from the forums
  • halcyon
    ...and here come the Foxconn-worker comments in 3-2-1...

    Will this mean beautiful Chinese women will be less likely to want to commit suicide?
    Reply
  • JOSHSKORN
    Hon Hai Buy Big Share of Sharp
    Just say that about 5 times really fast.
    Reply
  • trumpeter1994
    Oh boy looks like theres gonna be mass protests and suicides outside of Sharp factories too now....
    Reply
  • Warsaw
    JOSHSKORNJust say that about 5 times really fast.Actually did try this, it's rather hard.
    Reply
  • plznote
    greghomeand just like that, Foxconn employees will be less likely to jump off the roof due to fear of sharp sticks on the factory groundsWhy would they care? They aim to kill themselves anyway.
    Reply
  • spookyman
    I want to thank that 10 year old child who assembled my Ipad. Great Job.

    Maybe you will get a promotion and not have to live in a card board box down by the toxic sewer.

    Reply
  • sonofliberty08
    well...... sharp panels are more reliable than samsung panels......
    Reply
  • cpviolation
    Foxconn installed a net around the employees living quarters to curb the suicide rate.

    Six employees per room that are instructed not to communicate with each other.

    Modern day slavery.

    However it is difficult to boycott their products. Besides producing products for iPopple, almost every motherboard uses Foxconn connectors for I/O.

    J
    Reply
  • halcyon
    They assembled my iPads really well. I'd like to tip the responsible workers specifically.
    Reply
  • Benihana
    mnbvcxzzMaybe you will get a promotion and not have to live in a card board box down by the toxic sewer.We heard you the first time troll.
    Reply