Foxconn to Sell Licensed iPhone and iPad Accessories

Foxconn is planning to license Apple technology to sell its own-branded accessories for iPhones and iPads, according to a MarketWatch report. The company hopes that retail sales of accessories such as cables, headphones, and keyboards will help offset a decline in manufacturing growth blamed on a slowed orders from Apple.

"As our production capacity has grown to such a large scale and existing major brand customers offer limited order growth, we need to actively expand our client base to help increase our manufacturing volume," said a Hon Hai executive who wished to remain anonymous.

Apparently, all business units have been ordered to begin production of accessories.


"Chairman (Terry Gou) has ordered all business units to produce peripheral accessories of electronics products as it is more profitable than assembly services. We also plan to license Apple's technology to make some own-brand accessories that are compatible with iPhones and iPads," said one of the executives.

Foxconn will reportedly open outlets in China to retail products directly to customers. It's also said to be expanding retail distribution partnerships to include RadioShack. Business units are now being restructured to improve efficiency and to prepare for possible spins offs. One possibility for a spin off is the company's cable and connectors manufacturing unit.

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