Preparing for the iPhone 15! AI server demand strong, Foxconn plans to add production lines

Foxconn plans to add production lines to meet strong demand for AI servers ahead of iPhone 15 launch

【PhoneAuto News】As usual, the new iPhone 15 series from Apple will officially meet us this fall. PhoneAuto noticed that as Hon Hai sprinted to stock up on the new iPhone 15, its AI server-related business demand also grew strong, and Hon Hai’s subsidiary, Hongbai, planned to add new production lines.

iPhone smartphone

It is reported that Hongbai Technology, responsible for the AI server business within Hon Hai Group, plans to add five to six new production lines to meet the requirements of AI server customers, in addition to existing customers such as Huawei, Microsoft, and Amazon. Large customers such as Facebook and Apple will also join the lineup this year.

According to previous foreign media reports, with the AI boom sweeping the world, Hon Hai expects sales revenue from servers used for AI model training and hosting to at least double in the second half of the year. Hon Hai Chairman Liu Yangwei said at the annual shareholder meeting on Wednesday that the company’s server business revenue in 2022 will be NT$1.1 trillion (approximately RMB 255 billion). Liu Yangwei also revealed that Hon Hai is cooperating with Nvidia in autonomous driving applications.

Recently, Hon Hai Group announced its latest revenue situation. The company stated that due to weak sales of smart consumer electronics products, the company’s revenue in May of this year was NT$450.7 billion (approximately RMB 104.5 billion), a year-on-year decrease of 9.5%, but an increase of 5% month-on-month, which is in line with the company’s expectations. In addition, the company expects business to continue to decline year-on-year in the second quarter.

It is worth mentioning that as the release date of Apple’s iPhone 15 approaches, Hon Hai’s Zhengzhou factory is recruiting manpower on a large scale, giving a bonus of 7500 yuan to the first returnees during the peak season; returnees more than twice can receive a bonus of 8000 yuan, and Hon Hai revealed that it is making every effort to assemble the new machine and expand the backup inventory.

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