Apart from Saudi Arabia, Foxconn is in discussions with the UAE about possibly building the factory in the country
Foxconn reportedly planning a $9bn factory in Saudi Arabia. (Credit: Nadkachna/Wikipedia.org)
Hon Hai Technology Group (trading as Foxconn Technology Group) is reportedly in discussions with the Saudi Arabian government to jointly construct a $9bn factory that could produce microchips, electric-vehicle components, as well as other electronics.
Saudi Arabia is studying the offer from the Taiwanese electronics contract manufacturer to construct the dual-line semiconductor contract manufacturing facility in Neom, reported the Wall Street Journal, citing people having knowledge about the matter.
Apart from Saudi Arabia, Foxconn is in talks with the UAE about possibly building the factory in the country, said the report.
The report further claimed that the UAE government wants the Taiwanese company to ensure that it will direct at least two-thirds of the foundry’s production into its existing supply chain.
Last month, Foxconn signed a memorandum of understanding (MoU) with Vedanta Group to create a joint venture company for manufacturing semiconductors in India. The targeted project is intended to invest in manufacturing semiconductors and is expected to give a considerable boost to the domestic manufacturing of electronics in India.
Recently, Foxconn signed an MoU with XRSPACE, a Taiwanese firm, with an aim to create a global metaverse ecosystem. The former will also invest $100m in XRSPACE.
A major assembler of Apple’s iPhones, Foxconn said that is suspending operations at its Shenzhen manufacturing hub in China due to a surge in Covid-19 cases in the region.