A smartphone developed by Microsoft. (Photo: eandt.theiet.org)
Taipei-based Hon Hai Precision Industry Co., Ltd., known as Foxconn
, through its subsidiary Chief Expertise, is taking over a 100% stake of Microsoft
Mobile Vietnam Limited for $22 million to bolster its capacity, according to Nikkei.
The deal is a follow-up of an agreement reached in mid-May when Microsoft decided to sell its feature phone operations in Vietnam to FIH Mobile Ltd., a subsidiary of Hon Hai/Foxconn Technology Group, and HMD Global, Oy for $350 million.
Under the deal, Foxconn will own and operate a feature phone and smartphone manufacturing factory in Vietnam’s northern province of Bac Ninh, which houses a giant phone plant of Samsung.
Microsoft Mobile Vietnam was renamed from Nokia
Vietnam Limited following a $10-billion takeover by Microsoft in 2014, one year after Finland’s phone maker Nokia moved its production to Bac Ninh province.