Foxconn Technology Group, also known as Hon Hai Precision Industry Co. Ltd., is the world’s largest company in the Electronic Manufacturing Service (EMS) industry. Founded in 1974 by Terry Guo, the company now boasts a workforce of nearly one million strong, factories in over ten countries spanning Asia, Europe, Mexico, and South America, and a 2013 revenue of $109.9 billion. Foxconn operates primarily as a contract manufacturer (CM) and original design manufacturer (ODM), making products according to the specifications of outside firms. The company is a vendor for such industrial giants as Microsoft, Sony, Google, and Apple (which provides almost 40% of Foxconn’s revenue alone). Foxconn’s first factory in Shenzhen, China covers 1.16 square miles. The factory is tantamount to a self-sustaining city, even including its own television network Foxconn TV.
The company’s business model relies heavily on vertical integration, in which one company owns its own suppliers. Known as eCMMS (e-enabled Components, Modules, Moves, and Services), this system integrates its mechanical, electrical, and optical capabilities and allows Foxconn an extremely short supply chain. For example, the components of the Nokia 1209 handset, from the plastic case to the printed circuit board, is 70 percent Foxconn-made. The products manufactured by Foxconn dominate the computer hardware industry and the company has patented over 64,000 of its manufacturing processes. Foxconn factories produce the motherboards, chassis, card readers, coolers, graphics cards, and LCD monitors which are sold under major brand names including Intel, ATX, AMD, and Nvidia. If you’re in the market for hardware and network devices, ASAP Semiconductor is a one stop shop for all your procurement needs. If you own a device that requires a Foxconn component (and chances are very high that you do), look no further than ASAP Semiconductor.
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