Foxconn plans to launch solid-state batteries in 2024

With the release of iPhone12, as Apple's main foundry business, Foxconn also ushered in the busiest stocking period of the year. However, in addition to focusing on Apple's foundry business, in recent years, in order to diversify the company's global investment, Foxconn has made a lot of investment in industrial robots, digital medical and electric vehicles, and hopes to achieve growth in many areas. As early as January this year, Bloomberg reported that Hon Hai Precision Industry Co., Ltd. planned to form a joint venture with Fiat Chrysler (FCA) to develop and produce electric vehicles in China. Hon Hai is Foxconn. Technology's parent company. According to the filing documents of Hon Hai on the exchange at that time, Hon Hai and its subsidiary Hong Teng International will hold 50% of the joint venture, and the remaining shares will be held by FCA. For FCA, although Hon Hai has no experience in automobile manufacturing, Hon Hai is more familiar with China's supply chain, which can help FCA effectively reduce production costs. Liu Yangwei, chairman of Hon Hai, also told the outside world that Hon Hai does not have the idea of u200bu200bparticipating in the assembly of complete vehicles. Hon Hai’s goal is to be responsible for product design, component research and development and supply chain management. In the future, the automotive business will account for the share of overall sales. Increase to 10%. Echoing the speech earlier this year, Liu Yangwei once again stated on October 16 that he hoped the company would occupy a 10% share of the electric vehicle market between 2025 and 2027. In order to achieve this goal, Foxconn is negotiating with a number of automakers. Liu Yangwei said that Hon Hai must prepare its own open platform as soon as possible, act quickly and seize market share. Foxconn promises to establish an open platform to provide car companies with key components of electric vehicles, including batteries and Internet of Vehicles services, so that it can supply parts or provide services to 10% of the world's electric vehicles (about 3 million) Target. To this end, Foxconn has also formed a partnership with the Huachuang Electric Vehicle Technology Center under the Yulon Group to design electric vehicles. The company is currently supplying some components to Tesla. Regarding solid-state batteries as a market breakthrough Although he did not disclose the revenue target of the new electric vehicle business, Liu Yangwei said on Friday that Foxconn will launch the first solid-state battery for electric vehicles in 2024, which is a large capacity that can improve existing batteries. Storage equipment is considered by the outside world to be the best solution to the shortcomings of electric vehicles. Foxconn regards solid-state batteries as a breakthrough for its electric vehicles, also because of the excellent performance of solid-state batteries. Toyota, one of the world's well-known car companies, has publicly stated that it will launch new energy vehicles using solid-state batteries in 2020. Toyota said that compared with traditional lithium batteries, the energy density of solid-state batteries can be increased by more than twice, and solid-state batteries are not affected by ambient temperature and have higher charge and discharge efficiency, even after 30 years of use. , Still has 90% performance. The use of solid-state batteries will significantly improve the endurance of electric vehicles. Since solid-state batteries may be made thinner, softer and can contain more energy per unit weight, it will save more space for battery packs and deploy more Battery. Whether it is LG Chem, CATL or even Panasonic, these battery giants have made a lot of investment in solid-state batteries, and even regard solid-state batteries as the core of the group's development strategy. In addition, global capital’s investment in various solid-state battery companies reflects the huge potential of solid-state batteries. Relevant data shows that by 2030, the market for solid-state batteries will exceed US$6 billion. This is also Foxconn based on the launch of solid-state battery products in 2024. The reason, the purpose is to quickly deploy and seize market share. Relevant data show that in 2019, Foxconn’s auto parts sales reached nearly 330 million U.S. dollars. Foxconn provides parts and components to many companies, including Tesla. At present, Foxconn is working to increase the gross profit margin of parts and components. Although Foxconn It supplies parts to many auto companies, but it is still concentrated on products with low profit and low technical difficulty. Once solid-state batteries are successfully listed, it may bring Foxconn a revenue scale comparable to that of Apple's foundry.