Hon Hai takes hit from slow­ing iPhone sales

China Daily (Hong Kong) - - BUSINESS -

ac­count for a small slice of the lat­ter’s busi­ness.

“There is an ur­gent need for Hon Hai to di­ver­sify its rev­enue sources. We ex­pect ship­ments of iPhones to de­cline by 13 per­cent in 2016,” Peng said.

Al­though Ap­ple will see a stronger sales mo­men­tum this year, with a ship­ment of 211.7 mil­lion units of iPhones, it will still be far less than the 231.5 mil­lion units in 2015, Canalys fore­cast.

But Xiang Li­gang, a smart­phone ex­pert and CEO of the tele­coms in­dus­try web­site cc­time.com, no­ticed a bright spot in Hon Hai’s fi­nan­cial re­port.

“In the quar­ter ended in De­cem­ber, sales were up 9.76 per­cent year-on-year, sig­nal­ing big de­mand for the iPhone 7 Plus,” Xiang said.

“It is too early to pre­dict how Hon Hai and Ap­ple will per­form in 2017, be­cause this year marks the 10th an­niver­sary of the iPhone and Ap­ple may un­veil a cut­ting-edge prod­uct to re­vive its sales,” he added.

AP

Work­ers at the pro­duc­tion line at a Fox­conn Tech­nol­ogy Group com­plex in Shen­zhen, Guang­dong prov­ince.

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