Apple supplier Foxconn seeks to slash costs
Taiwan-based producer conducts review to reduce expenses at its iPhone business
Bengaluru — Apple’s biggest iPhone assembler Foxconn aims to cut 20-billion yuan ($2.88bn) from expenses in 2019 as the company faces “a very difficult and competitive year”, Bloomberg reported on Wednesday, citing an internal memo. The Taiwan-based producer said it was conducting a regular annual review to budget effectively for 2019, but it was also the latest to point to concerns over demand for Apple's flagship devices. Shares in Apple, at the heart of this week’s brutal sell-off on Wall Street, were up 1.2% at $179.13 in a broadly steadier market. They have fallen nearly 9% since November 12 when one of its facial recognition suppliers, Lumentum Holdings, cut its outlook for the holiday quarter. Shares in Foxconn, formally known as Hon Hai Precision Industry, closed down less than 1% at 70.60 Taiwanese dollars ($2.29). Apple shocked investors earlier in November with a lower-than-expected sales forecast for the Christmas quarter that jolted parts suppliers across the world. US ...
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