Friday, November 22, 2013

Apple News: Foxconn To Sink $40M Into New Pennsylvania Factory

Foxconn, Apple’s largest supplier of parts for the iPhone 5s and iPhone 5c, is planning to open a factory on U.S. soil. The Taiwan based electronics company is planning on investing $40 million in the state of Pennsylvania for a new facility and for research and development.

The Plan
According to reports, Terry Gou revealed the plan this week to invest $30 million in a new facility in Harrisburg, Pennsylvania. This new factory will be responsible for assembling components for telecommunications equipment and Internet servers.
The remaining $10 million of the $40 million proposed for the project will be spent on research and development at Carnegie Mellon University in Pittsburgh, Pennsylvania.

Rumors Confirmed
The announcement confirms rumors from last year that suggested Gou had plans for expansion on U.S. soil. There is no definite answer as to whether the American factories will be handling any Apple products at all. But, there will be an added benefit to the Harrisburg community, with approximately 500 jobs to be added to the 30 that are currently provided by Foxconn.

Corporations Catching Heat For Far East Labor
Foxconn officials mentioned last year that the idea of making some of their products in America was interesting, simply because there is a strong demand for it from American consumers. The electronics giant already had plans in action for a training program for U.S. engineers through MIT.
Large corporations like Apple have come into the microscope of the press lately regarding the labor practices of their suppliers. With some critics pointing out horrible working conditions and poor living arrangements for factories in China, a move to the U.S. would be a good one in terms of publicity.

Apple has responded to consumer complaints by making a promise to consumers that its top of the line Mac Pro desktop computer entirely in the U.S. The assembly of the Mac Pro will be completed by Flextronics in Texas, while Foxconn will be relinquishing the duties to the American company.