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Foxconn does not abandon plans to launch a plant in the United States, but will change its profile
12.eleven.2021 [13:10],
Alexey Razin

Foxconn’s quarterly report allows us to judge the dynamics of changes in demand for Apple products, since this Taiwanese company remains its main contract manufacturer. Foxconn’s Q3 Revenue Down 7% Due to Delayed iPhone 12 Announcement. Foxconn’s U.S. facility to go live, but its profile is constantly being revised.

Image source: Reuters

At the quarterly reporting conference, as Reuters explains, Foxconn representatives made it clear that the company’s plans to launch production in the United States do not depend on who is in power in the country, and is not going to abandon its intentions to launch production of Foxconn products here. As you know, Donald Trump at the beginning of his presidential term supported Foxconn’s initiative to organize the production of televisions in Wisconsin. The buildings allocated for the enterprise are still empty, and the company has already managed to announce the re-profiling of production for the production of liquid crystal panels of more modest dimensions. At the first stages of the pandemic, it was also planned to organize the assembly of artificial lung ventilation devices.

Now Foxconn representatives say that they have not abandoned the idea of ​​creating a production in Wisconsin, but specialized products should be in demand on the market. In practice, this means, as Reuters explains, that in the United States, the company can organize the assembly of server and telecommunications equipment, as well as products related to artificial intelligence systems.

For the period from July to September, Foxconn net income was $ 1.08 billion, which is almost the same as the same period last year. This is above the expectations of analysts, who were counting on lower quarterly results. And yet, customer delays in the announcement of some of the products, most likely the Apple iPhone 12 family, slashed Foxconn’s quarterly revenue by 7%.

According to Foxconn representatives, the demand for smartphones and server systems exceeds the company’s forecasts, with the start of deliveries of the iPhone 12, the profile part of the revenue has grown significantly. The share of consumer electronics, which includes smartphones, accounted for 41% of the company’s total revenue in the third quarter, another 28% formed server solutions for cloud systems, about 24% accounted for laptops and other computing equipment.

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