Foxconn, which produces the iPhone and Xbox, is now planning a range of electric cars and is pursuing collaborations with Nissan, Honda and Mitsubishi.
Foxconn is best known as the manufacturer of the iPhone and Xbox – now they want to expand their product range to include electric cars. The goal is to sell them globally.
The Taiwan-based company already builds 40 percent of the world's consumer electronics. Now it has unveiled a plan to design and build electric cars, which will be produced in Taiwan and eventually in the United States.
At a recent press conference, Foxconn's management said that they are already in dialogue with automakers such as Nissan, Honda and Mitsubishi.
One of the ambitions is to deliver ready-made electric cars to brands that do not have their own models ready.
Foxconn and Nissan could become a reality
According to Automotive News, Nissan is at the top of the list of potential partners. Although Foxconn does not plan to acquire the car brand, it is seen as a strategic piece in the electric car initiative.
Foxconn is also already working with Mitsubishi, although the exact details of the partnership have not been revealed. Nikkei reports that Honda is also in the running.
The company plans to offer several different electric vehicles, including a midsize crossover, a compact crossover, two vans and a midsize sedan. The crossovers will be the first models expected to be sold in the United States.
Foxconn is also focusing on software-defined cars. That is, cars where the electronics and updates are at the center – just like Tesla and Rivian.
Foxconn wants to leverage experience from China – without being Chinese
Although Foxconn is based in Taiwan, the company has large factories in China and is among the largest private employers in the country. This could be an advantage in the electric car industry.
Several Western countries are trying to limit imports of Chinese electric cars. Foxconn can play a special role here. It is close to Chinese production capacity, but is technically not a Chinese company.
One advantage for Foxconn is its experience with mass production. They already build millions of devices for Apple, Microsoft and other tech giants. That knowledge can now be used to produce electric cars quickly and cheaply.
Foxconn does not plan to launch electric cars under its own name. Instead, the cars will be sold through established car brands, which will choose to purchase the models off-the-shelf.
The company, officially called Hon Hai Technology Group, was founded in 1974. The ambition to build cars has been known for several years, but the plans have now moved closer to realization.
Electric cars are becoming the new electronics
Foxconn's move into electric cars shows how closely the tech and automotive industries are merging. More manufacturers are now focusing on software and updates rather than classic mechanics.
Whether consumers will accept cars built by an electronics giant is not yet known.
But the likelihood that you already own a Foxconn product in the form of an iPhone or a PlayStation is very high.
Also read our articles about other tech companies trying to penetrate the automotive world, and how collaborations with classic car brands can change the electric car market.
