Manufacturing News

Dell, Telefonica Tie-Up to Benefit Hon Hai

Hon Hai Group of Taiwan is expected to be indirectly benefited by a recent tie-up between Dell of the United States and Telefonica of Spain, which announced to jointly develop smart phones and other handheld devices for Europe and Latin America markets, according to Chinese-language economic daily newspaper Economic Daily News (EDN).

Most major PC brands have deployed in smart phone business. Acer is expected to ship about three million such devices this year, while HP, Asus, Dell and Lenovo are just in their initial stage and expect to ship less than one million smart phones.

Thanks to Hon Hai's experience in information technology (IT) industry and strong capability in vertical integration, the Taiwan-based conglomerate has won smart-phone orders from Acer, Dell, and Levnovo, while Asus also plans to place order with Hon Hai this year, EDN said.

Telefonica is the world's third-largest telecom group with about 265 million global subscribers. The partnership also marks Dell's big advancement after tying up with China Mobile and AT&T.

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