Feeds

iPhone-maker Foxconn not gonna save Sharp

Sharp starts making plans to save itself without help

Maximizing your infrastructure through virtualization

iPhone-maker Hon Hai Precision Industry, better known as Foxconn, will not come to the rescue of floundering Japanese manufacturers Sharp, says Reuters.

Sharp will have to look to itself to save its wilting electronics manufacturing business, says Reuters' unnamed source.

Sharp had asked the Taiwanese bits-maker Hon Hai for a cash infusion in return for a 9.9 percent stake in the company, but it sounds like Hon Hai has been dragging its feet and the deal is now off.

"We cannot make a plan based on something that is uncertain. For us, it's over," said the source.

The cash formed an important part of a rescue package for Sharp that will be presented to shareholders in March. Sharp has already drawn in cash from Qualcomm in a package that will see Qualcomm invest in making smartphone screens using Sharp's IZGO tech – touted as having twice the resolution of normal screens with 90 percent power savings.

Sharp will have to find the cash elsewhere or significantly restructure to make up the shortfall. The company faces falling revenues as the markets contract in its core area of TVs and PC displays, and is reeling from stiff competition from rivals such as the rampantly successful Samsung.

Sharp has posted losses every half year since September 2011. ®

The Power of One Infographic

More from The Register

next story
BBC goes offline in MASSIVE COCKUP: Stephen Fry partly muzzled
Auntie tight-lipped as major outage rolls on
There's NOTHING on TV in Europe – American video DOMINATES
Even France's mega subsidies don't stop US content onslaught
You! Pirate! Stop pirating, or we shall admonish you politely. Repeatedly, if necessary
And we shall go about telling people you smell. No, not really
Airbus promises Wi-Fi – yay – and 3D movies (meh) in new A330
If the person in front reclines their seat, this could get interesting
UK Parliament rubber-stamps EMERGENCY data grab 'n' keep bill
Just 49 MPs oppose Drip's rushed timetable
Samsung threatens to cut ties with supplier over child labour allegations
Vows to uphold 'zero tolerance' policy on underage workers
Dude, you're getting a Dell – with BITCOIN: IT giant slurps cryptocash
1. Buy PC with Bitcoin. 2. Mine more coins. 3. Goto step 1
ITC: Seagate and LSI can infringe Realtek patents because Realtek isn't in the US
Land of the (get off scot) free, when it's a foreign owner
prev story

Whitepapers

Reducing security risks from open source software
Follow a few strategies and your organization can gain the full benefits of open source and the cloud without compromising the security of your applications.
Consolidation: The Foundation for IT Business Transformation
In this whitepaper learn how effective consolidation of IT and business resources can enable multiple, meaningful business benefits.
Application security programs and practises
Follow a few strategies and your organization can gain the full benefits of open source and the cloud without compromising the security of your applications.
Boost IT visibility and business value
How building a great service catalog relieves pressure points and demonstrates the value of IT service management.
Consolidation: the foundation for IT and business transformation
In this whitepaper learn how effective consolidation of IT and business resources can enable multiple, meaningful business benefits.