Hon Hai still in talks with Sharp
Hon Hai Precision Industry Co Ltd (鴻海精密), the major assembler of Apple Inc’s iPhone and iPad, said in a statement yesterday that the company was still in negotiations for a capital alliance with Japanese electronics maker Sharp Corp.
Hon Hai said in a filing to the Taiwan Stock Exchange that several media reports about the talk with Sharp being suspended were not true, but the company did not provide a timetable for when the two sides would complete the talks.
On Saturday, the Mainichi Shimbun in Japan said the two companies planned to suspend tie-up negotiations because of different opinions on cooperation in the field of small and mid-sized LCDs.
Meanwhile, the Sankei Shimbun in Japan said Sharp was considering measures including a public share sale to raise capital by about ¥200 billion (US$2.14 billion), without saying where it got the information.
Taiwanese deposit 7bn yuan
The central bank said on Saturday that 7 billion yuan (US$1.12 billion) was deposited by Taiwanese as of Feb. 22 after local banks were cleared to offer yuan-based business on Feb. 6.
A total of 46 banks, including 29 domestically registered ones, have launched yuan-denominated services, such as deposits, loans and remittances, after Taipei and Beijing set up a cross-Taiwan Strait currency-clearing mechanism.
Firms to invest in Taiwan
The Ministry of Economic Affairs (MOEA) on Saturday said it approved applications by two China-based Taiwanese companies to invest NT$263 million in Taiwan, which is estimated to create more than 400 jobs.
The ministry said the two companies are machine maker Manford Machinery Co Ltd (邁鑫機械) and game developer XPEC Entertainment Inc (樂陞科技).
Including Manford and XPEC, 22 China-based Taiwanese firms have since last year secured the ministry’s approval to invest in Taiwan.
These companies’ total investments are estimated to amount to NT$168.4 billion, which is forecast to create about 23,000 jobs, the ministry said.
HTC to partner with Mayday
HTC Corp (宏達電) confirmed on Saturday that it would partner with leading Taiwanese rock band Mayday (五月天) to promote its latest flagship smartphone, the new HTC One.
“We’re very happy to work with Mayday, and really look forward to the unique creative possibilities between the band and the new HTC One,” the company said in an e-mail interview.
Based in Taoyuan, Taiwan, HTC did not specify how it will be working with the award-winning band, saying only “please wait and see.”
Mayday’s agent said members of the band, who are currently on a world tour, have already started to upload pictures to social networking Web sites using the new HTC One, according to Chinese-language Apple Daily.
The contract was reportedly worth as much as US$1 million, the newspaper said.
Launched on Feb. 19, the HTC One is the latest in a series of new smartphones the Taiwanese smartphone maker has unveiled to seek regaining market share from stronger rivals Samsung Electronics Co and Apple Inc.
LED makers’ revenues rise
The total revenues of locally listed LED manufacturers increased last month, on the back of growing demand for smartphones and TVs, according to a market information advisory institute.
“The LED backlight panel market is starting to rise, and the revenue of Taiwanese upstream and downstream firms are also increasing impressively,” LEDinside said in a recent statement.
Taiwanese-listed LED makers reported NT$8.22 billion revenues last month, up 21.5 percent from the previous month and 39.9 percent from a year ago, the statement said.
As Samsung Electronics Co of South Korea plans to launch its new LED TV models in the second quarter of the year, a stocking effect will appear in the first quarter, LEDinside said.
The demand for smartphones is also increasing, resulting in companies stocking up on supplies, the institute said, projecting that global shipments will increase 28 percent this year as a result.
BUSINESS UPDATE: The iPhone assembler said operations outlook is expected to show quarter-on-quarter and year-on-year growth for the second quarter Hon Hai Precision Industry Co (鴻海精密) yesterday reported strong growth in sales last month, potentially raising expectations for iPhone sales while artificial intelligence (AI)-related business booms. The company, which assembles the majority of Apple Inc’s smartphones, reported a 19.03 percent rise in monthly sales to NT$510.9 billion (US$15.78 billion), from NT$429.22 billion in the same period last year. On a monthly basis, sales rose 14.16 percent, it said. The company in a statement said that last month’s revenue was a record-breaking April performance. Hon Hai, known also as Foxconn Technology Group (富士康科技集團), assembles most iPhones, but the company is diversifying its business to
ARTIFICIAL INTELLIGENCE: The chipmaker last month raised its capital spending by 28 percent for this year to NT$32 billion from a previous estimate of NT$25 billion Contract chipmaker Powerchip Semiconductor Manufacturing Corp (力積電子) yesterday launched a new 12-inch fab, tapping into advanced chip-on-wafer-on-substrate (CoWoS) packaging technology to support rising demand for artificial intelligence (AI) devices. Powerchip is to offer interposers, one of three parts in CoWoS packaging technology, with shipments scheduled for the second half of this year, Powerchip chairman Frank Huang (黃崇仁) told reporters on the sidelines of a fab inauguration ceremony in the Tongluo Science Park (銅鑼科學園區) in Miaoli County yesterday. “We are working with customers to supply CoWoS-related business, utilizing part of this new fab’s capacity,” Huang said, adding that Powerchip intended to bridge
Qualcomm Inc, the world’s biggest seller of smartphone processors, gave an upbeat forecast for sales and profit in the current period, suggesting demand for handsets is increasing after a two-year slump. Revenue in the three months ended in June will be US$8.8 billion to US$9.6 billion, the company said in a statement Wednesday. Excluding certain items, earnings will be US$2.15 to US$2.35 a share. Analysts had projected sales of US$9.08 billion and earnings of US$2.16 a share. The outlook signals that the smartphone market has begun to bounce back, tracking with Qualcomm’s forecast that demand would gradually recover this year. The San
Clambering hand-over-hand, sweat dripping into his eyes, a durian laborer expertly slices a cumbersome fruit from a tree before tossing it down to land with a soft thump in his colleague’s waiting arms about 15m below. Among Thailand’s most famous and lucrative exports, the pungent “king of fruits” is as distinctive in its smell as its spiky green-brown carapace, and has been farmed in the kingdom for hundreds of years. However, a vicious heat wave engulfing Southeast Asia has resulted in smaller yields and spiraling costs, with growers and sellers increasingly panicked as global warming damages the industry. “This year is a crisis,”