Foxconn is the Chinese company that helps Apple assemble some of their products, like the iPhone, for example. As for the actual components themselves, Apple tends to source them from a variety of companies. For example with its displays, Apple has tapped companies like LG Display, Samsung, Japan Display, and Sharp, just to name a few, but it looks like Foxconn could be interested in helping Sharp pick up the slack.
According to a report from a Taiwanese publication, United Daily News, Foxconn is reportedly in talks with Sharp to use their technology to help produce displays for Apple’s iPhone. Like we said earlier, Apple uses several manufacturers to create components for their products. This is to help increase efficiency while not giving one particular manufacturer too much power.
The idea behind Foxconn’s strategy is to help reduce supply bottlenecks and also to help Apple reduce reliance on some of their other manufacturing partners, such as Samsung, whom Apple is currently fighting with in the courtrooms. But why would Sharp want to potentially give up some of its business?
Well Sharp and Foxconn have worked together in the past. Back in 2012, both companies had worked together and entered into a strategic partnership which saw the opening of an iPhone display plant in China. Foxconn had also reportedly bought shares in the company during its financial crisis.