Terry Gou, founder of Taiwanese assembly giant Foxconn, announces plans to step down as chairman in order to "pave the way for younger talent to move up the company's ranks," Reuter reports.
Foxconn is nothing less than the largest contract manufacturer in the world, making a change in leadership a tricky situation at best. Making the situation arguably worse is a current attempt at cutting reliance on Apple, since currently the iPhone maker is looking to diversify its supplier base as smartphone sales plateau.
One attempt at diversification was a Wisconsin campus set up for the production of LCD panels-- a plan Reuters recently reported Foxconn is reconsidering. However, later Foxconn insisted it is still building the Wisconsin factory following talks with US President Donald Trump.
Gou tells Reuters that while he is resigning as Foxconn chairman, he hopes to remain involved in "strategic decisions regarding the company's business," at least following discussion with the rest of the board.
“I will be involved in the major direction of the company, but not involved in daily operations," Gou says. “I’m already 69 years old. I can pass down my 45 years of experience. That’s the goal I set up-- to let young people learn sooner and take over sooner and to replace my position sooner.”
Founded in 1974, Foxconn makes $168.52 billion in annual revenue, making goods for the biggest names in the technology industry. Analysts suggest Apple makes over 50% of said revenues. Gou owns 9.4% of the company, making him the richest man in Taiwan with a net worth of $7.6bn.
Go Foxconn Chariman Gou Aims to Step Down to Pave Way for Younger Talent (Reuters)
