Foxconn is best known as the manufacturer of Apple’s iPhones and iPads, and the human costs of its efficient fabrication processes are well documented. Less well known are the Taiwanese company’s global aspirations. Foxconn, which trades under the name Hon Hai Precision Industry Co., has been integrating vertically and horizontally with purchases of suppliers, customers and potential competitors. Now, the company is buying a wireless carrier.
Reuters reports that Foxconn will spend $11.6 billion for a controlling stake in Taiwan’s Asia Pacific Telecom. Foxconn has already secured 4G spectrum licenses in Taiwan, so it does not come to the wireless service market empty-handed.
Ambit Microsystems is the Foxconn subsidiary that will purchase the Asia Pacific Telecom stake. Foxconn then plans to make Ambit part of Asia Pacific Telecom, and lose the Ambit name.
This is the latest in a string of acquisitions for Foxconn. Back in 2010, the company bought Sony’s television manufacturing operations in Slovakia and Mexico, and purchased Dell’s computer manufacturing business in Poland. Then in 2012, Foxconn and its founder Terry Gou bought 9.9% of Sharp Corp. and 46.5% of Sharp Display Products.
More recently, Foxconn has made acquisitions outside of personal electronics manufacturing. Its purchase of chipmaker Socle is expected to close soon, and The Wall Street Journal reports that Foxconn is teaming up with HP to make servers to support cloud data applications for service providers.
Follow me on Twitter.
Foxconn global ambitions include mobile service
ABOUT AUTHOR
