Your Chances Of Getting Your Future Electric Car From The Same Manufacturer As Your iPhone: There is a good probability that the manufacturer of the iPhone that you are holding in your hand right now will also be the manufacturer of your next electric automobile, or possibly even your first electric car.
And before you ask, no, we’re not talking about Apple’s long-rumored driverless car, the release of which, according to Bloomberg, has been pushed back to 2026. Google is not currently working on its own Tesla competitor at this time.
The Taiwanese electronics giant Foxconn, which assembles a wide variety of popular devices such as the iPhone, iPad, and Kindle, as well as the Nintendo Switch, has just announced its intention to enter the market for electric automobiles.
However, rather than selling electric vehicles under its own brand, the company intends to design and produce automobiles for both well-established car manufacturers and a new crop of EV startups.
To put it another way, Foxconn wants to be able to provide for Tesla what it already provides for Apple. In October, the chairman of Foxconn stated that the business hopes to one day manufacture 40-45% of the world’s electric vehicles in order to equal the level of success it has achieved in the electronics industry.
The previous year saw the debut of Foxconn’s first electric vehicle (EV) prototypes, and the company has spent no time since then assembling its roster of automotive customers.
Foxconn, a Major iPhone Maker, Wants to Sell Electric Cars There's a growing chance your next electric car will be built by the same company as your iPhone https://t.co/D1xZHIjBdY
— EVNewsLinks.com Global (Australian) (@evdirectories) December 19, 2022
At the beginning of this year, the company that makes iPhones purchased a facility in Lordstown, Ohio that had previously been used by General Motors from a failed automotive startup called Lordstown Motors. Lordstown Motors has just very lately begun delivering electric pickup trucks to customers that were manufactured by Foxconn.
Another electric vehicle (EV) startup, Fisker, has selected Foxconn to produce its second vehicle, the Pear, beginning in 2024 in the state of Ohio. In addition to that, Foxconn will construct prototypes for yet another startup known as Indi EV. In addition to this, a partnership agreement has been signed with Yulon Motor of Taiwan.
According to a report from Germany’s Automobilwoche in November, Volkswagen is mulling over the possibility of commissioning Foxconn to manufacture its new Scout-branded electric SUV and pickup truck for customers in the United States.
According to Bill Russo, founder, and CEO of Automobility, a Shanghai-based auto-industry consultancy organization, Foxconn’s push into electric vehicles (EVs) is a smart move.
This information was shared with Insider. Because of the company’s ability to make such large-scale purchases of components, it has been very profitable for the business to take on the capital-intensive aspects of the process of making electronic goods.
And according to him, it is in a good position to do the same for electric vehicle manufacturers, who are eager to cut the large expenses necessary to develop and bring a car to market.
In addition, motor vehicles are getting more and more computerized and internet-connected, necessitating an ever-increasing number of the electronic components that Foxconn is experienced in producing.
“It sounds very much like one of the modern electronic products that Foxconn manufactures. A lot of displays, a lot of processors, and a lot of other components that they are able to acquire in substantial enough quantities “Russo stated their goal is to bring costs down.
Foxconn’s entrance into the electric vehicle (EV) market, according to Tu Le, general director of automotive consultancy Sino Auto Insights, will be a windfall for EV companies that do not have the means to develop their own facilities.
Rivian and Lucid, two start-up electric vehicle manufacturers in the United States, have both shelled out significant sums to establish their own manufacturing facilities, but not all new EV companies have such ready access to finance.
“In the next 24 to 30 months in the United States, there will be a lot of asset-light EV companies that are going to come out,” he added. “They are going to need a factory with capacity that can provide them a finished good at a wholesale price.”
And Le isn’t surprised to hear that Tesla, one of the few established automakers without strong union ties, may one day outsource production to Foxconn. However, the company will first need to demonstrate that it is capable of manufacturing electric sport utility vehicles and pickup trucks to the same high standard as its iPads and iPhones.
According to Le, “if they can prove that the first vehicles that roll off the line in Ohio are at the highest quality, highest reliability, and highest safety standards that Americans expect, then they have a ton of opportunity in front of them.”