Taipei — Apple supplier Foxconn has warned that current-quarter revenue for its electronics business including smartphones could slip as growth slowed amid rising inflation, cooling demand and escalating supply chain issues partly due to lockdowns in China.
The predictions reinforce the urgency for Foxconn to reduce its reliance on smartphones and consumer electronics, which make up slightly more than half of its total revenue, and diversify into areas such as electric vehicle manufacturing which it sees as a $34bn business by 2025. Inflation is hitting demand for lower-end consumer electronics but the effect on the company so far has been limited as most of its products are higher end, Liu said. “We are closely watching when inflation will affect mid and high end products.”
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