Foxconn pulls out of Vedanta’s chip plan in India, this is what the company said

Apple iPhone’s biggest manufacturer Foxconn has announced that it has pulled out of the $19.5 billion joint venture with the Indian conglomerate Vedanta to produce semiconductors in the country.

Last year, Taiwan-based Foxconn and Vedanta agreed to invest $19.5 billion in Gujarat, a western state in India. The JV aimed to establish semiconductor and display production plants and take advantage to become a significant player in the electronics industry.

According to a statement from Foxconn, they are currently in the process of removing their name from the full-owned entity of Vedanta. Foxconn has no association with this entity, and they believe that keeping the original name will lead to confusion among future stakeholders.

Committed to ‘make in India’
Foxconn is optimistic about India’s semiconductor development and fully supports the government’s “Make In India” initiative. They aim to establish local partnerships that cater to the requirements of stakeholders.

“Foxconn is working to remove the Foxconn name from what now is a fully-owned entity of Vedanta. Foxconn has no connection to the entity and efforts to keep its original name will cause confusion for future stakeholders,” the company said in a statement. “We will continue to strongly support the government’s “Make In India” ambitions and establish a diversity of local partnerships that meet the needs of stakeholders,” it added.

Last September, Vedanta entered into an agreement with the Gujarat government for a massive semiconductor and display manufacturing unit worth Rs 1.54 lakh crore. Vedanta partnered with Foxconn from Taiwan for this project and had previously considered Maharashtra for the investment. Vedanta would have had a 60 percent equity stake in the venture, while Foxconn’s share constituted 40 percent, serving as the technical partner.

Vedanta Group recently acquired complete ownership of their joint venture with Foxconn, which was established last year to produce semiconductors in India. As a result, Vedanta Limited has become India’s first company to offer integrated semiconductor and display fabrication services. This restructuring has expanded Vedanta Limited’s already diverse portfolio to now include ventures in semiconductors and display glass manufacturing.

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Apple iPhone’s biggest manufacturer Foxconn has announced that it has pulled out of the $19.5 billion joint venture with the Indian conglomerate Vedanta to produce semiconductors in the country.

Last year, Taiwan-based Foxconn and Vedanta agreed to invest $19.5 billion in Gujarat, a western state in India. The JV aimed to establish semiconductor and display production plants and take advantage to become a significant player in the electronics industry.

According to a statement from Foxconn, they are currently in the process of removing their name from the full-owned entity of Vedanta. Foxconn has no association with this entity, and they believe that keeping the original name will lead to confusion among future stakeholders.

Committed to ‘make in India’
Foxconn is optimistic about India’s semiconductor development and fully supports the government’s “Make In India” initiative. They aim to establish local partnerships that cater to the requirements of stakeholders.

“Foxconn is working to remove the Foxconn name from what now is a fully-owned entity of Vedanta. Foxconn has no connection to the entity and efforts to keep its original name will cause confusion for future stakeholders,” the company said in a statement. “We will continue to strongly support the government’s “Make In India” ambitions and establish a diversity of local partnerships that meet the needs of stakeholders,” it added.

Last September, Vedanta entered into an agreement with the Gujarat government for a massive semiconductor and display manufacturing unit worth Rs 1.54 lakh crore. Vedanta partnered with Foxconn from Taiwan for this project and had previously considered Maharashtra for the investment. Vedanta would have had a 60 percent equity stake in the venture, while Foxconn’s share constituted 40 percent, serving as the technical partner.

Vedanta Group recently acquired complete ownership of their joint venture with Foxconn, which was established last year to produce semiconductors in India. As a result, Vedanta Limited has become India’s first company to offer integrated semiconductor and display fabrication services. This restructuring has expanded Vedanta Limited’s already diverse portfolio to now include ventures in semiconductors and display glass manufacturing.

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end of article