Amazon partners Foxconn subsidiary for its first India-based manufacturing line

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Amazon had partnered with contract manufacturer Cloud Network Technology, the Taiwan-based Foxconn subsidiary, in setting up the first production line in Chennai, India to produce Fire TV Sticks. The production line will become operational later this year as announced in a blogpost Tuesday.

Realizing “made-in-India” and creating jobs

The Fire TV Sticks (used for streaming smart TV) was originally outsourced from China and Taiwan for the Indian market according to the Times of India.

Building a production locally is in line with the Indian government’s vision of a self-reliant India or Atmanirbhar Bharat. A move that reduces dependence on China. 

According to Amit Agarwal, Amazon India head We have pledged to invest US$1 billion to digitize 10 million small and medium businesses, help Indian businesses sell worldwide thereby enabling US$10B in cumulative exports, and create an additional 1 million jobs by 2025.”

The program is said to hold production capacity of “hundreds of thousands“ units per year catering to demands of customers in India and the company will continuously evaluate scaling capacity to additional marketplaces of domestic needs. 

Foxconn partners Amazon

Aside from the announced manufacturing line set up in India, first of its kind, Foxconn had been partnering closely with Amazon in recent years, including deepened cooperation with AWS (Amazon Web Services) to deploy hardware and software integration for IoV (Internet of Vehicles) after Foxconn set forth the MIH electric vehicle open platform.

Foxconn Shenzhen iDPBG business group contract manufactures for Amazon in making an array of devices, including tablets and audio devices – echo after the business group signed a cooperation agreement with Hengyang city (衡陽市), Hunan Province (湖南省) to build an Amazon production center.

Amazon also financially supported Foxconn in a takeover bid for Toshiba’s Memory unit in 2017, according to a Japanese media source, though the bid was eventually sealed to Bain Capital, an American private investment firm.

 

Source: CNA, Amazon, Times of India, Fudzilla

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