However, due to the influence of Yi, orders decreased and domestic labor costs increased, Foxconn began to gradually shift the market outward. Foxconn's focus on India is partly due to the low cost of land and population, and partly due to the shift of Apple's production focus from China.
In July 2020, it was reported that Foxconn would invest $6,543.8 billion to expand its factory in southern India. This factory in southern India is mainly used to assemble Apple phones. Although neither Apple nor Foxconn has responded positively at present, from various indications, Foxconn's transfer to India is now a foregone conclusion.
However, with the continuous development of domestic mobile phones and the rising demand in the domestic market, Foxconn's "gradual withdrawal" undoubtedly provides opportunities for domestic OEM market manufacturers, and BYD is the greatest potential!
Many people may wonder, can domestic car companies still make chips? But in fact, as early as 2002, BYD invested a lot of money in the semiconductor field, and now it is a small achievement. BYD Semiconductor Co., Ltd., a subsidiary of BYD Semiconductor Co., Ltd., has a valuation of over 10 billion yuan. It has also released three mobile phone fingerprint identification chips and applied for more than 90 patents in related fields.
In recent years, Huawei has been continuously suppressed and its chips are limited. Kirin 9000 is likely to become a swan song. In such a difficult situation, BYD took the initiative to reach a comprehensive cooperation with Huawei on the order of 200 billion yuan for mobile phone OEM, and has established a corresponding OEM industrial park base! In addition, BYD also works for Xiaomi, which will undoubtedly play a key role in the development of the chip field in China.
Previously, Wang Chuanfu, the founder of BYD, once said: "Some technology patents are paper tigers. You have to know that the chip is made by people, not by God. " As the only giant with chip manufacturing capability in China, I believe that the cooperation between BYD and Huawei can create miracles!
It is worth mentioning that Foxconn's road to building factories overseas is not smooth. /kloc-in 0/4, it was planned to invest 10 billion dollars to build a factory in Indonesia, but it was put on hold because of the "land" problem. 18 years, the Wisconsin factory closed one year later.
In fact, we don't have to worry too much about the shift of Foxconn's focus. First, it is not easy for Foxconn to go abroad completely. Second, state-owned enterprises with great potential such as BYD also have enough strength to fill the "hole". Do you think BYD is likely to replace Foxconn?