By: Aseem Gaurav, April 13, 2011 (New Delhi)
Taiwan IT giant Foxconn, which makes iPads and iPhones, is considering investing $12 billion investment in Brazil to build computer and mobile phone components, according to reports in media.
Brazilian President Dilma Rousseff said that Foxconn had expressed its interest in investing the money in Brazil over the next "five to six years".
Rousseff said a working group had been formed to study the proposal. The discussions between Brazilian officials and Foxconn about a potential partnership have been going on for a while now.
Taipei-based Foxconn, which is facing labour problems and suicides in China in recent years, is the world's largest maker of computer components and produces goods for Apple, Sony and Nokia. It currently has around one million workers in China, about half of them based in the southern boomtown of Shenzhen, which neighbours Hong Kong.
Foxconn's investment in Brazil would be a big boost to the world's eighth-largest economy, and would advance Rousseff's goal of attracting more high-tech manufacturing.
Apple Inc recently launched the next version of its popular computer tablet, the iPad, and is witnessing huge demand for the new product. According to estimates, Apple sold nearly half a million units in that first weekend in the US when wait time for the device soared to five weeks. The iPad 2 was launched simultaneously in 25 additional countries on March 25, and it's reportedly already sold out overseas.
The report of Foxcoon’s mega investment should be seen as a big boost to Apple’s production line and when the Brazilian plant becomes operational, Apple would considerably reduce the supply-demand mismatch.
Taiwan IT giant Foxconn, which makes iPads and iPhones, is considering investing $12 billion investment in Brazil to build computer and mobile phone components, according to reports in media.
Brazilian President Dilma Rousseff said that Foxconn had expressed its interest in investing the money in Brazil over the next "five to six years".
Rousseff said a working group had been formed to study the proposal. The discussions between Brazilian officials and Foxconn about a potential partnership have been going on for a while now.
Taipei-based Foxconn, which is facing labour problems and suicides in China in recent years, is the world's largest maker of computer components and produces goods for Apple, Sony and Nokia. It currently has around one million workers in China, about half of them based in the southern boomtown of Shenzhen, which neighbours Hong Kong.
Foxconn's investment in Brazil would be a big boost to the world's eighth-largest economy, and would advance Rousseff's goal of attracting more high-tech manufacturing.
Apple Inc recently launched the next version of its popular computer tablet, the iPad, and is witnessing huge demand for the new product. According to estimates, Apple sold nearly half a million units in that first weekend in the US when wait time for the device soared to five weeks. The iPad 2 was launched simultaneously in 25 additional countries on March 25, and it's reportedly already sold out overseas.
The report of Foxcoon’s mega investment should be seen as a big boost to Apple’s production line and when the Brazilian plant becomes operational, Apple would considerably reduce the supply-demand mismatch.
