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According to industry analysts, Sharp has developed a range of cutting-edge display technologies that can significantly enhance the technological capabilities of Hon Hai's new panel production investment in mainland China. If this strategic partnership fails to materialize, it could potentially delay the advancement of Hon Hai's display technology, which may not be favorable for securing future orders from major clients like Apple.
Hon Hai’s chairman, Guo Taiming, has made significant efforts to secure a stake in Sharp. He successfully led the 10th generation panel factory (SDP), a joint venture between Hon Hai and Sharp, to achieve profitability and maintain profitable performance for three consecutive years. The dividends generated at the Sakai factory are being reinvested into employee benefits, aiming to gain approval from the Japanese government and regulatory bodies through strong management practices.
Additionally, at the end of last year, Guo Taiming invited Taiwanese media to visit the SDP during peak season, demonstrating his commitment to deepening cooperation with Sharp. However, with the involvement of the Japanese government, the situation has become complicated. Guo’s efforts seem to be falling short, and even some Japanese media have expressed dissatisfaction with his approach. They argue that rejecting Hon Hai’s investment in Sharp, whether from a financial or national security perspective, could raise concerns and damage trust.
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