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Hon Hai Group: new TFT LCD market player

Another player is to appear in the densely TFT LCD market — Hon Hai Group, now constructing its 5G fab.

Hon Hai Group is known by its various shipments — from barebone systems and modules to sockets — to leading OEM integrators. The production group had been successful lately, so it was decided to invest $700 million to $1 billion into construction of a TFT LCD fab in Hsinchu.

Under conditions when not only foreign brands like Samsung Electronics, LG Philips Display, but also five local Taiwanese industry leaders nurture similar plans for 5G fabs construction, a try to become a leader seems doubtful enough, however Hon Hai Group is optimistic about that. Company leaders believe that despite possible overproduction problems, this sector has bright future, and TFT LCD demand will absorb any production volumes.

From the very beginning Hon Hai Group plans to avoid mistakes of other multiproduction enterprises and announce the establishment of a new company, which name is still undisclosed. Hon Hai Precision Industry Co., Hon Hai Group leader, will become its largetst stock holder. The fab is to be fully constructed in 2004.

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