Menu
Foxconn invests US$40 million in Pennsylvania to tap research, talent

Foxconn invests US$40 million in Pennsylvania to tap research, talent

Foxconn wants to develop a high-end manufacturing base in the U.S.

Foxconn headquarters in Taipei.

Foxconn headquarters in Taipei.

Don't expect any U.S.-made iPhones yet, but electronics supplier Foxconn Technology Group is expanding its manufacturing presence in the nation with a new US$40 million investment to tap research and talent in Pennsylvania.

The manufacturing giant made the announcement late on Thursday, at a time when its CEO Terry Gou has been visiting the U.S. as part of a Taiwanese trade delegation.

Foxconn, best known as the maker of Apple's iPhone and iPad, plans to spend $30 million over the next two years to expand its existing office in Harrisburg, Pennsylvania. The investment will involve hiring 500 employees, the company said in an email.

In addition, Foxconn wants to draw upon robotics research at Pennsylvania's Carnegie Mellon University, by giving $10 million in funding to the institution.

The Taiwanese company denied the investments were related to serving a specific customer. In addition to serving Apple, Foxconn also makes tablets for Amazon, TVs for Sharp, and game consoles for Sony and Microsoft.

Instead, the company is taking advantage of President Barack Obama's push to move the U.S. into advanced manufacturing. Foxconn's CEO wants his firm to establish a "high-value" production base in the nation to help it build electronics with the use of automation.

It's unclear which products it will make at the Harrisburg facility, which previously focused on research. But bringing more high-end manufacturing to the U.S. will lower Foxconn's manufacturing and transportation costs, potentially making electronics more affordable for local consumers, Foxconn said.

The manufactured products, however, will go beyond the consumer space and into fields such as medical and automotive equipment.

Earlier this month, Foxconn said it was exploring establishing a manufacturing base in Arizona to possibly build display panels. The company is also considering technology partnerships in Virginia and New Jersey.

Such investments could mean more Foxconn manufactured products will receive a "Made in U.S." label, a trend starting to form among tech vendors. Apple is trying to relocate more of its product manufacturing to the U.S., and Motorola has marketed its Moto X handset as the first smartphone to be assembled in the U.S.

Foxconn doesn't plan on abandoning its Chinese workforce anytime soon. The company employs over 1 million workers in the nation, allowing it to churn out large volumes of assembled products.

The company has, however, been eyeing automation technologies, with the hopes of using a "robot army" at its facilities one day. At the same time, Foxconn has been investing more in its research capabilities, including software development, as a way to incorporate more features into the products it builds for its vendor customers.

Follow Us

Join the New Zealand Reseller News newsletter!

Error: Please check your email address.

Tags business issuesElectronics manufacturingFoxconn Technology Groupinvestmentsenvironment

Featured

Slideshows

Examining the changing job scene in the Kiwi channel

Examining the changing job scene in the Kiwi channel

Typically, the New Year brings new opportunities for personnel within the Kiwi channel. 2017 started no differently, with a host of appointments, departures and reshuffles across vendor, distributor and reseller businesses. As a result, the job scene across New Zealand has changed - here’s a run down of who is working where in the year ahead…

Examining the changing job scene in the Kiwi channel
​What are the top 10 tech trends for New Zealand in 2017?

​What are the top 10 tech trends for New Zealand in 2017?

Digital Transformation (DX) has been a critical topic for business over the last few years and IDC is now predicting a step change as DX reaches macroeconomic levels. By 2020 a DX economy will emerge and it will become the core of what New Zealand industries focus on. From the board level through to the C-Suite, Kiwi organisations must be prepared to think and act digital when the DX economy emerges in 2017.

​What are the top 10 tech trends for New Zealand in 2017?
Top 15 Kiwi tech storylines to follow in 2017

Top 15 Kiwi tech storylines to follow in 2017

​The New Year brings the usual new round of humdrum technology predictions, glaringly general, unashamedly safe and perpetually predictable. But while the industry no longer sees value in “cloud is now the norm” type projections, value can be found in following developments of the year previous, analysing behaviours and patterns to formulate a plan for the 12 months ahead. Consequently, here’s the top Kiwi tech storylines to follow in 2017...

Top 15 Kiwi tech storylines to follow in 2017
Show Comments