Foxconn Sets its Sights on 4G Market: Report

27 May

Foxconn, the world’s largest contract manufacturer, is looking to purchase a sizable stake in Taiwanese telecom provider, Asia Pacific Telecom, to boost its presence in the Taiwanese 4G market, Reuters reports.

The deal between the two companies will reportedly be worth a total of 11.6 billion NTD (roughly 390 million USD), with Foxconn’s subsidiary company, Ambit Microsystems, set to pay Asia Pacific “20 NTD per share for 582.9 million shares” by the end of June 20th, the publication adds.

As Foxconn already owns licenses to operate Taiwan’s 700 and 900 Mhz bands, the deal with Asia Pacific will more likely than not add a significant boost to the company’s existing momentum in the 4G and cloud computing industries.

Interestingly, an early report from ZDNet suggest Foxconn is also in the process of negotiating a 60% stake in China Network Systems, and claims that this would enable it to compete effectively with Taiwan’s largest cable provider, Chunghwa Telecom, “by offering 4G network packages to Taiwanese consumers.”