Leading iPhone maker to produce EVs but not for Apple
What's the story
Foxconn, the Taiwanese tech giant famous for making Apple's iPhones, has revealed its plans to enter the electric vehicle (EV) space.
The company will design and make EVs for Japanese automotive giant Mitsubishi Motors.
According to an agreement in principle between the two companies, a Foxconn joint venture will handle the work in Taiwan.
Launch timeline
New EV model to launch by 2026
The first EV from this partnership is expected to be available by the end of next year.
This would be Foxconn's major entry into the fast-growing and competitive EV market.
The cars will be produced by Foxtron, a joint venture between Foxconn and Taiwanese automaker Yulon Motor.
Role of Foxtron
Foxtron to handle design and manufacturing management
Foxtron will offer design and manufacturing management services for the new EV model.
The companies involved in this venture have disclosed plans for the car to hit markets in Australia and New Zealand by late 2026.
Currently, the agreement between Mitsubishi Motors and Foxconn is a memorandum of understanding, a non-binding deal that enables both parties to continue discussions toward a definitive agreement.
Expansion plans
Foxconn's plans to expand in the motor industry
Foxconn, the world's top contract electronics manufacturer, has shown interest in venturing into the motor industry.
The company had once eyed a stake in Japan's Nissan Motor for possible "co-operation."
The move comes as competition from Chinese automakers such as BYD is intensifying, as they quickly gain customers across the globe.