Hon Hai Precision Wins Apple Franchise in Mainland China

Taipei, Jan. 6, 2009 (CENS)--Hon Hai Precision Industry Co., Ltd. has won the Apple franchise in China and will begin to expand distribution network this year.

The company, currently Taiwan's No.1 manufacturing conglomerate by market revenue, will initially gain market share in China for Apple products via its established outlet Cybermart Digital Square and its consumer electronics business unit, which is led by H.L. Chiang, a former Apple executive.

Industry watchers point out that Hon Hai aims to become China's No.1 distributor of information-technology products after becoming the world's No.1 electronics manufacturing service provider, which it hopes to achieve by combining manufacturing with retail.

The dealership project is part of the company's 2009 agenda. In the New Year, the company will raise rather than cut pay for crucial-technology specialists, boost profit by realizing projects, and expand its China deployment deep into the hinterland from coastal provinces.

So far, three Hon Hai executives, excluding Terry Gwo himself, have announced they will take the symbolic NT$1 as pay.

Gwo pointed out that China's population of 1.3 billion is the major force behind its domestic demand, justifying the company to tap such market amid the global financial crisis. He believes the worst of the crisis would be over by the first quarter 2009 and, thus, his company still has chance to grow.