Foxconn and HCL collaborate to establish semiconductor OSAT in India

Taiwan's Foxconn Technology Group and India's HCL Group announced on Wednesday that they would collaborate to establish a semiconductor outsourced assembly and testing (OSAT) unit. In the proposed joint venture (JV), Foxconn is set to hold 40% equity, investing $37.2 million. Both companies confirmed the partnership individually. An HCL Group spokesperson responded to inquiries, stating, HCL Group intends to collaborate with Foxconn Group for the establishment of OSAT operations in India. Leveraging HCL Group's robust engineering and manufacturing background, this opportunity aligns strategically with the Group's portfolio. A spokesperson from Foxconn expressed, Foxconn is eager to work together with HCL in establishing OSAT operations in India. Through this investment, the partners aim to develop an ecosystem and enhance supply chain resilience for the domestic industry. Foxconn will implement its BOL, or build-operate-localise, model to support local communities. Foxconn Hon Hai Technology India Mega Development, a subsidiary of Foxconn Technology Group, that the JV is outlined in a non-binding memorandum of understanding, with subsequent negotiations to follow.