Apple Supplier Foxconn Makes $5.3 Billion Offer to Purchase Sharp

by

Apple supplier Foxconn has reportedly offered around $5.3 billion (¥625 billion) to purchase troubled Japanese electronics maker Sharp, according to The Wall Street Journal.

sharp
The report claims that Sharp is also reviewing a competing offer from the Innovation Network Corporation of Japan (INCJ), possibly in the range of $2.5 billion (¥300 billion). INCJ already owns a controlling stake in Japan Display, a joint venture formed in 2012 by the display making divisions of Hitachi, Sony and Toshiba.

Foxconn is reportedly willing to shoulder all of Sharp's debt in an effort to persuade the company's creditors. Sharp must repay around $4.3 billion (¥510 billion) it borrowed by March, urging the company and its lenders to reach a decision by February 4, when it reports its latest quarterly earnings results, according to the report.

Sharp, which experienced a net loss of nearly $1.9 billion (¥222 billion) in the fiscal year ending March 2015, supplies Apple with LCD displays for current iPhones. The company is a leading television maker, and it also sells audio equipment, home appliances, interactive display systems for business use and more.

Foxconn could begin selling its own line of electronics if it purchased Sharp, but exactly how it plans to use the company if taken over remains unknown. Any possible implications for Apple may be short lived, as Japan Display, LG and Samsung are rumored to supply the company with OLED displays for iPhones as early as 2018.

In 2012, Foxconn chairman Terry Gou personally acquired a 38% stake in a Sharp display factory in Sakai, Japan.

Tags: Foxconn, Sharp

Top Rated Comments

(View all)
Avatar
58 months ago

Ironic how once the Japanese were dominant in the electronics market. JVC, Panasonic, Sharp, and Toshiba are all disappearing.

Panasonic alone has twice as many employees as Apple and they make a profit so "disappear" might be a bit of an exaggeration.

But yes, in many consumer product areas these Japanese companies have lost ground to others but I think it is mainly to Korean companies making similar products such as Samsung and LG.
Score: 2 Votes (Like | Disagree)
Avatar
58 months ago

Sony and Panasonic's Professional divisions are still doing fairly well. See that HD sports or news broadcast? Chances are that was shot on either Sony or Panasonic Pro gear with lenses from Canon.

This. (I work in TV with emphasis on live & studio broadcasts.)
Score: 1 Votes (Like | Disagree)
Avatar
58 months ago

Ironic how once the Japanese were dominant in the electronics market. JVC, Panasonic, Sharp, and Toshiba are all disappearing. The mighty Sony survives only through the Playstation.

I guess the computer and the smartphone killed their markets

Sony and Panasonic's Professional divisions are still doing fairly well. See that HD sports or news broadcast? Chances are that was shot on either Sony or Panasonic Pro gear with lenses from Canon.

But yes, it's interesting to see how companies (d)evolve over time.
Score: 1 Votes (Like | Disagree)
Avatar
58 months ago
Evil companies like Foxconn should not be able to own anyone else, they're done enough bullcrap.
Score: 1 Votes (Like | Disagree)

Top Stories

iPhone 12 Sizes Compared with iPhone SE, 7, 8, SE 2, X, 11, 11 Pro and 11 Pro Max [Update]

Tuesday July 7, 2020 6:49 pm PDT by
Apple is planning on launching the iPhone 12 this fall which is rumored to be coming in 3 different sizes: 5.4", 6.1" and 6.7". The middle size (6.1") matches up with the currently shipping iPhone 11, but the other two sizes will be entirely new. Over the weekend, there was some excitement about how well the new 5.4" iPhone 12 compares to the original iPhone SE. Those who have been hoping...

Everything New in iOS 14 Beta 2: New Calendar Icon, Files Widget and More

Tuesday July 7, 2020 11:38 am PDT by
Apple today released the second beta of iOS 14 to developers for testing purposes, tweaking and refining some of the features that are coming in the update. Below, we've rounded up all of the changes that we found in the second beta. - Calendar icon - There's a new Calendar app icon in iOS 14 beta 2, with the day of the week abbreviated rather than spelled out. - Clock icon - The clock...

Apple Warns Against Closing MacBooks With a Cover Over the Camera

Friday July 10, 2020 11:12 am PDT by
Apple this month published a support document that warns customers against closing their Mac notebooks with a cover over the camera as it can lead to display damage. Image via Reddit Apple says that the clearance between the display and the keyboard is designed to very tight tolerances, which can be problematic. Covering the camera can also cause issues with automatic brightness and True Tone....

Analyst Believes iPhone 12 Pricing Will Start $50 Higher Even Without EarPods or Charger in Box

Wednesday July 8, 2020 9:35 am PDT by
Despite multiple reports indicating that Apple will not include EarPods or a wall charger with iPhone 12 models this year, one analyst believes that pricing will still increase slightly compared to the iPhone 11 lineup. In a research note provided to MacRumors, analyst Jeff Pu forecasted that iPhone 12 pricing will start at $749 for a new 5.4-inch model, an increase of $50 over the base...

Apple Seeds First Betas of iOS 14 and iPadOS 14 to Public Beta Testers

Thursday July 9, 2020 10:14 am PDT by
Apple today seeded the first public betas of upcoming iOS and iPadOS 14 updates to its public beta testing group, two weeks after first providing the updates to developers after the WWDC keynote and a day after seeding the second developer betas. Public beta testers who have signed up for Apple's beta testing program can download the iOS/‌iPadOS‌ 14 updates over the air after installing ...

14-Inch MacBook Pro With Mini-LED Display Expected to Enter Production in 2021

Wednesday July 8, 2020 7:51 am PDT by
Apple suppliers will begin competing to win manufacturing orders for new 14-inch and 16-inch MacBook Pro models with Mini-LED displays in the first quarter of 2021, according to Taiwanese research firm TrendForce. Rumors of a 14-inch MacBook Pro have surfaced since Apple replaced the 15-inch MacBook Pro with a new 16-inch model last year. Apple analyst Ming-Chi Kuo has previously said that...

Leaker: 'iPhone 12 Pro' to Come With 6GB of RAM

Friday July 10, 2020 1:59 am PDT by
Later this year, Apple is expected to release four OLED iPhones in three display sizes, including 5.4, 6.7, and two 6.1-inch models. Rumors suggest the 6.7-inch iPhone and one 6.1-inch model will be higher-end devices, and now leaker @L0vetodream has corroborated previous rumors about the internal specs of Apple's upcoming lineup. Rumors suggest Apple will use 5-nanometer A14 chips in its...

Developer's Visual Comparison of macOS Catalina and Big Sur Offers Closer Look at Apple's UI Redesign for Macs

Tuesday July 7, 2020 4:00 am PDT by
macOS 11 Big Sur is the next major release of Apple's operating system for Mac, and following its preview at WWDC, one of the biggest discussions has revolved around the all-new user interface redesign. Developers are still learning what the impact the new UI will have on their apps, and with that in mind, app designer Andrew Denty has compiled an extensive visual comparison of the user...

Apple's Arm-Based Macs With Apple Silicon Chips Will Support Thunderbolt

Wednesday July 8, 2020 3:14 pm PDT by
Apple is working on Macs that use its custom Apple-designed Apple Silicon chips instead of Intel chips, but Apple has committed to continuing to support Thunderbolt, reports The Verge. In a statement, an Apple spokesperson said that Apple's upcoming machines will offer support for Intel's Thunderbolt USB-C standard. "Over a decade ago, Apple partnered with Intel to design and develop...

Kuo: Apple Silicon Macs to Include 13-inch MacBook Pro and MacBook Air This Year, 14.1-inch and 16-inch MacBook Pro Models Next Year

Friday July 10, 2020 2:58 am PDT by
At last month's WWDC, Apple officially announced that its Mac computers will be transitioned from Intel x86 to homegrown Apple Silicon chips. Apple said it plans to deliver the first Apple Silicon Mac by the end of the year and complete the transition in about two years. According to Apple analyst Ming-Chi Kuo, a 13.3-inch MacBook Pro with a form factor similar to the current 13.3-inch...