Foxconn held an online year end celebration event today. In his speech, Foxconn Chairman Young Liu said that in 2021, Hon Hai set a new annual revenue record of NT$5.94 trillion, an increase of nearly 11% over the previous year. "Foxconn is undergoing a gorgeous transformation and attracting the gaze of the outside world. Foxconn has done well in 2021 and will do better this year!"
Due to the impact of the pandemic, the 2022 Foxconn Carnival was still held online. Young Liu said that because of the pandemic, we can only send New Year's greetings and blessings to everyone online again this year. In the past year, facing the challenges of pandemic waves, floods, and natural disasters around the world, Foxconn continued to hold group pandemic prevention meetings, flexibly implemented staggered work hours, and promoted vaccines. Foxconn’s top priority is ensuring the health of employees and their families.
Faced with such changes, Foxconn has also accelerated F2.0 digital transformation, starting from the three aspects of digital experience, intelligent decision-making, and operational efficiency, and has successively established the group's high-speed network, adjusted the organization's business, and updated the group's official website.
For the industry, the next two big things are electric vehicles and the Metaverse. At Hon Hai Technology Day (HHTD) last year, in addition to showing off three electric vehicles, Foxconn also presented the results of the Technology Day virtually in the Metaverse.
Young Liu further stated that Foxconn is transforming. In the past year, the development of Foxconn's new businesses has been in full swing. In terms of EVs, Foxconn has acquired important customers in the United States, Southeast Asia, and Europe. Foxconn Build-Operate Localize (BOL) operates a localized innovation model. Through “Localize” localization, partner companies can continue to develop and share results. This concept has been recognized by many countries.
In addition, Foxconn's three new electric vehicles were officially launched in just one year. There have also been many advances in R&D and strategic cooperation for key components. Going from four wheels to two, the most important thing for Foxconn is obtaining a production base in the United States, which would put development of Foxconn EV a full year ahead of schedule. In the first half of this year, an electric bus built by Foxconn will be put into operation in Kaohsiung, Taiwan. In the second half of the year, an electric pickup truck produced in cooperation with American carmaker Lordstown Motors will also be officially shipped.
Meanwhile, the semiconductor industry is the hottest in the world and a key part of Foxconn's EV rollout. Last year, Foxconn acquired or invested in two wafer factories and a packaging factory and also formed a strategic alliance with an industry peer to establish XSemi. At the same time, Foxconn has established a partnership with the world's fourth largest automaker in the field of semiconductor design, aiming to design a series of special automotive chips for customers. The capabilities of this semiconductor can provide value-added services for ICT and EV customers.
Young Liu emphasized that Foxconn is undergoing a splendid transformation. In 2021, Foxconn set a record high of NT$5.94 trillion in annual revenue, an increase of nearly 11% over the previous year. Foxconn profit in the first three quarters has increased by 70% compared with the previous year, which is also a record high for the same period. Foxconn has done well in 2021 and will do even better this year. Foxconn will once again demonstrate to the world the core capability of its "vertical integration."
However, Young Liu also offered a reminder that Foxconn will face more challenges this year than last year such as the challenge of creating value through innovation and the social and fiduciary "responsibility" shouldered by Foxconn. In addition, there is also the protection of employee well-being. After all, Hon Hai is a benchmark enterprise for pandemic prevention recognized by local governments.
(Image: Foxconn)
