26 May Hon Hai Precision Industry Co., Ltd. Or Manufacturer of Apple Handhelds
Granted, almost nobody has heard of the Hon Hai Precision Industry Company, but most people have heard the name Foxconn thrown around. The Taiwanese manufacturing giant, who exclusively manufactures the iPhone, iPad, but also the Xbox One, Kindle, PlayStation 4, BlackBerry and the Wii U, just to name a few. In factories on three continents Foxconn manufactures up to 40 per cent of all consumer electronics products worldwide.
Foxconn employs over a million people worldwide and has whole factory cities, where up to 15 factories are within a complex, which includes living quarters, shops, cinemas, swimming pools and everything else necessary to maintain a decent life, while sequestered within the Foxconn City. Rumours about bad working conditions leak every now and then, including a mass suicide pact where 150 people wanted to protest in such a drastic manner, because their working conditions became apparently unbearable. However, only 14 suicides were per year recorded, all within Foxconn premises in China, which is lower than the national average, rating at 20 suicides per 100,000 people.
Still, Foxconn manages to generate around 100 billion Pounds in revenue, with a net income surpassing two billion Pounds. Foxconn’s largest factories are within the Chinese mainland, amounting to 12 factory complexes in nine cities with the larges factory employing over 300,000 people being located in the Longhua subdistrict in the Shenzhen province, the so-called Foxconn City. The real name of the factory area is Longhua Science & Technology Park and it is a walled in community. The second largest factory complex is named ZhengZhou Technology Park, in ZhengZhou, the capital of the Henan province and it employs more than 120,000 people.
With such resources it is understandable that many major companies use the facilities, since that the premises not only house skilled workers, but engineers, scientists, technology specialists, design specialists, solution providers, expert production specialists and many more professionals, thus providing an in-house solution for all requirements such a customer may require. Most of the clients that Foxconn services are in the United States, but Asian and European customers (Nokia) are also listed as major clients.
Foxconn started out as a manufacturer for plastic parts for TVs and entered the computer industry manufacturing computer component connectors when Atari sent in a huge order for joystick connectors. The founder of Foxconn, or rather Hon Hai, is a Taiwanese billionaire by the name of Terry Gou, who founded the company in Taiwan originally for a start-up budget of 7500 US dollars. Encouraged by that success, he toured the United States and went shopping around for customers and orders. Incredibly enough, his strategy worked and he returned with dozens of orders, starting the empire it is today.