Terry Gou collapsed, Foxconn made important decisions, and the future of hundreds of thousands of workers was uncertain
After the blow to Huawei, Apple and Foxconn began to transfer production capacity to India and Southeast Asia, which has become more rampant recently. At the beginning, in order to attract Foxconn to set up factories in the mainland, we gave enough preferential conditions, how could we just leave? In October last year, authorities began an investigation into Foxconn, pointing the finger at Foxconn's problems with taxes and land. Whether there is illegal behavior in this is well known to the authorities and Guo Taiming himself.
The investigation found that Foxconn's subsidiary had made mistakes in paying taxes and was only fined 20,000 yuan. The art of punishment is to punish lightly. Is it because the relevant departments are afraid of punishing Foxconn? Is it because of the fear of being punished by Foxconn's billions of dollars? When pigs fly! 20,000 yuan, just a pretense, Guo Taiming has given up, if Foxconn decides to gain a foothold in the mainland, then everything before can be written off, but if Foxconn wants to cooperate with Apple, then it must pay a fine of billions of yuan, which is something that all lawbreakers know!
Gou and Cook were so furious by the penalty that they immediately issued a stern order for Foxconn to increase India's iPhone production capacity to 20 to 25 percent by 2024 and only 12 to 14 percent of India's iPhone production capacity by 2023. Apple, on the other hand, said that even if Foxconn's iPhone production is only 50% of India's, they must meet this goal.
In addition, Apple has also launched a new product guidance plan, that is, to send a new iPhone to the foundry for trial production, which is a test of the foundry's technology and manufacturing capabilities. Apple asked Foxconn to complete the NPI project for the standard version of the iPhone 202417 in India, so Foxconn had to increase the production capacity of the Indian factory.
All these measures have led to a reduction in the number of employees at Foxconn's mainland factory from 1.2 million to more than 770000 now, which means that thousands of people have lost their jobs. In fact, due to the hot sales of Huawei's Mate60 series products, Apple has gradually reduced its orders to Foxconn. Last November, when Apple entered its peak sales season, Foxconn abruptly increased its working hours, implementing a five-day workweek and an eight-hour workweek. As long as people who have been to the factory, they will understand that the basic salary in the factory is very low, and they can only get a high salary by working overtime, and the basic salary of 3,000 yuan is barely enough to maintain basic living needs.
Terry Gou seems to have completely lost his mind, his semiconductor investment in India was cut a lot of money, and in November he invested another 10 billion yuan in India, and in December last year, India confirmed Foxconn's 12 billion investment. It is obvious that Terry Gou has not completely returned to the old path of Taiwan, but wants to tie Apple and India together and go all the way to black!
Will it be safe to hold the thigh of an apple? Anyone who is familiar with the business strategy of Apple's first business will understand that Mr. Cook will never let a business be completely controlled by a single company, which will form a situation of "big store bullying customers" and "monopoly". So, despite Foxconn's repeated pledges of loyalty, Apple still gave Foxconn's orders to Lucent Precision and Pegatron. The order volume for Lucent Mobile Pro series phones is Pro and 15 Pro, respectively. Although Foxconn still has a large share of the market, it is facing a crisis.
BYD not only took over the foundry business of Chinese mobile phones from Huawei, but also acquired Foxconn (Foxconn) in an attempt to break into Apple's ** chain. Some time ago, BYD spent 15.8 billion yuan to buy Chengdu and Wuxi Mobile Electronics Manufacturing, both of which are Apple's top merchants. This means that BYD is ready to enter the Apple ** chain. At the same time, Foxconn also faces strong competitors.
I believe that the relevant departments have seen and remembered everything that Foxconn has done. The opportunity is given to you, you don't cherish it, next time there will be a huge fine! What do you think?