Samsung Electronics Co.’s strong mobile sales haven’t benefited Hon Hai because Apple’s closest rival doesn’t outsource to the Taiwanese company.
The company has already made some headway with clients in China. It is assembling large liquid-crystal-display TVs for Chinese Internet-TV operator LeTV.com, smartphones for Huawei Technologies Co., and smartphones and TVs for U.S. TV maker Vizio, said people familiar with the projects. It also plans to manufacture a six-inch smartphone for Chinese TV station Hunan TV, which will come loaded with exclusive TV content.
Hon Hai’s ultimate aim is to be able to supply content for all of the devices it assembles, executives familiar with the company’s strategy said. The company is hiring software engineers for its research and development center in southern Taiwan, who will focus on developing mobile applications, cloud-computing technology for servers and applications for smartwatch devices. Company executives declined to disclose the amount of investments being made in software and content.