Shares in Foxconn International Holdings slumped nearly 8 per cent today after the kitmaker reported a whopping loss for the first half of the year. FIH, the bit of Hon Hai Group that works for Nokia, not Apple, has lost a record $226m so far this year as its star customer falters, compared to a loss of just $18m for the same …
but according to Anna, the only company to rebrand the output from Foxconn are Apple
If they're clever,
they won't look for other customers. In 2 years time there will only be the need for production of Apple products anyway. By dropping all the losing companies now and concentrating on the right product, Foxconn could get an edge over competitors that will go down when all other companoes fail.
You remember the 21st century fast food franchise wars?
I'll go and have dinner at Taco Bell* later . . .
*Or Pizza Hut, if you saw the European version of "Demolition Man"
Re: If they're clever,
It still said Taco Bell on our screens too.
@ AC 1137 - Re: If they're clever,
I was referring to this. Fourth paragraph down.
Certainly Flop's affected many companies and people here in Finland. Now he's reaching as far as China...
Re: Elop Effect?
Nokia usually make their own phones, the US version of the Lumia was outsourced to Compal Electronics as there wasn't time to make it themselves.
They're still packed and tested in Finland though.
I'm not sure what Foxxconn make for Nokia, probably headsets.
Re: Elop Effect?
And other accessories, and probably mainly things like
batteries/chargers, and maybe some other components which are then assembled in Finland.
Re: Elop Effect?
"Nokia usually make their own phones, the US version of the Lumia was outsourced to Compal Electronics as there wasn't time to make it themselves."
... yet they sold (and still sell) it like it is/was a premium device. While in reality it is pure crap. It´s fragile as hell and cost a ton to repair (though the parts are made by a cheap crappy chinese manufacturer).
... don´t believe me. The FACTS are here: http://antinokia.freewebspace.com/
including the heated telephone conversations I had with Nokia (don't) Care AND scans o/t printed documents like sales ticket, repair forms etc...
FYI not only the US version o/t Lumia 800 was made my crompal. ALL crapia 800's are made by compal (while they still had their own finnish factories back then). Nokia's current management is a bunch of assholes that need to be shot at once like the rabid dogs they are. They'll go in the history books as the geniuses that destroyed in one (1) year a historic company that took a decade to build. They can be really proud of themselves. Shoving over 10000 people into poverty with one swift blow. Closing down factories that have been "sponsored" by the european union and thus partially payed for by european tax-payers.
Well done fellas. I hope they all rot in hell!
FIH, the bit of Hon Hai Group that works for Nokia, not Apple, has lost a record $226m so far this year as its star customer falters, compared to a loss of just $18m for the same time in 2011.
"During the first six months of 2012, we saw major changes in the handset ecosystem triggered by the end market volatility due to the European and global economic slow-down, the emergence of new service/applications-centric business models and resulting in our customers’ continuous struggle in their market share protection battle," FIH said.
Translation: These Lumias are being given away so cheeply that not even slave labourers can make a profit making them.
Wrong. When they set their price to Nokia to cover tooling and other materials they got their order volume estimates wrong. That's not Nokia's fault. So they've not covered the cost of their initial outlay.
> they got their order volume estimates wrong
Perhaps they believed Nokia's estimates, or Gartner's "WP7 will overtake iPhone by 2013".
While Lumias went from ~2m in Q1 to ~4m in Q2 I suspect that Q3 will be negative as vendors return unsalable product due to WP7 phones being declared dead and end-of-line by Microsoft. While the completely different WP8 phones may be announced in Q4 it will take a while to get production ramped up and delivered, so I expect that Nokia have already reached their total shipments for the year.
These Lumias are being given away so cheeply...
Yet I have to PAY 326,66 euro´s to repair my Lumia 800, that I BOUGHT for 499 euro in feb 2012.
Nonetheless I can't feel sorry for 'loss' that foxcon makes. Those jobs should have been STAYED in Europe in reference to Nokia and in the US in reference to Motorola.
You can't expect that US/European consumers buy the products after you sacked and deprived them of the income they need to buy those products in the first place because those companies decided to move to China.
You make the crap in China... Then keep the crap in China. Don't come back!
I seem to remember then from before the smartphone era... Not heard from them from years. Are they still around?
Yes, but not for very much longer.
"Yes, but not for very much longer."
And I will personaly hasten their demise.
@ Manu T.
I'm sure your website has a lot of interesting stuff. Pity it's written in Klingon/Martian/Dutch/whatever so is accessible by about the planets population of half of Central London.
@ Andus - Dutch isn't so far adrift from English that the basic meaning can't come through, so the Klingon dig is a bit harsh! There are also translation facilities on the web. However, trying to "personally help to bring [Nokia] down" because of one bad phone does seem to be a strange ambition.
Klingon dig may have been a bit harsh, true. Nothing wrong with the Martian one though. Doesn't bother me at all, as an American bloke spoke from there recently, and an unintelligeable (unintelligent?) singer with a Dr. Seuss-manufactured name is going to sing from there! (Would have been brill if will.i.am did a live performance on Mars - return vehicle? erm, NASA can't afford it, so sorry..!)
But, seriously, if you want a website to be read by a large audience, FFS write it in English! Sorry, but that's how it is. The internal working language of Nokia is English, for example.
The dispute is still going on. So the website isn´t complete(d).
The problem is that I´m from the dutch part of Belgium so the conversations are, unfortunately for you, in dutch. You can't expect local dutch companies to talk english so others could actually understand what's going on. Besides they don't even want ME to understand what's going on.
I have translated the first page and posted this to the official Nokia.support forum though.
The top of that page shows what it's all about. Again since this is still ongoing I've not put it on that antinokia-website (yet). I am willing to give Nokia a change to redeem themselves. Although I have no hope of ever retreiving this device (even unrepaired) nor can't I be bothered to spend ANY money for this aborted WP7 crap which can't do the things I need in the first place. Since further updates to WP7 are only cosmetic updates it'll remain a crippled defunkt and useless system. Good enough for facebook jocks but unsuitable as a professional communications tool.
Unfortunatly since 499 euro is a lot of money to loose I can't buy a nother supposedly high-end phone. So that LG 4X HD (the most affordable o/t current Tegra 3 droids) that I wanted to buy instead will have to wait to next year.
Foxconn & China
Welcome to capitalism, lads. Enjoying it so far?
RE: Welcome to capitalism, lads. Enjoying it so far?
The CEO's and chairmen probably don't care because they already became filthy rich the past 5 years.
The only ones feeling the burn are probably the people down in the cellar at the labourcamp... euh... sorry I mean, workfloor. :-)
Re: RE: Welcome to capitalism, lads. Enjoying it so far?
Indeed. Exactly so.
Welcome to capitalism, lads. Enjoying it so far?
- Geek's Guide to Britain INSIDE GCHQ: Welcome to Cheltenham's cottage industry
- 'Catastrophic failure' of 3D-printed gun in Oz Police test
- Game Theory Is the next-gen console war already One?
- Apple cored: Samsung sells 10 million Galaxy S4 in a month
- BBC suspends CTO after it wastes £100m on doomed IT system