If you know anything about Foxconn, also known as Hon Hai Precision, it is that the company is one of Apple Inc. (NASDAQ:AAPL)’s biggest suppliers. The two have had a good working relationship for quite some time, and there is no reason to believe that this should change any time in the near future.
However, there is an interesting report circulating that Foxconn is going to release a smart watch that has the ability to interface with the Apple iPhone.
This is big news on a number of different levels. For one, Apple Inc. (NASDAQ:AAPL) has been rumored to be working on an iWatch for the past few months. Will this decision by Foxconn help or hurt the potential of Cupertino to become a market leader?
According to a report by Want China Times, things are moving forward quickly for Foxconn, although a name has yet to be given to the product.
Here is a brief excerpt from the piece, explaining more about what the Apple Inc. (NASDAQ:AAPL) supplier is trying to accomplish:
“Taiwan's Hon Hai Precision Industry — the main manufacturer of Apple's iPhones and iPads, better known by its trading name Foxconn — showcased a smartwatch on Wednesday that can be connected wirelessly to an iPhone, which the company hopes will be part of its next driver of revenue growth.”
While the company has the right to do whatever it pleases, many have to wonder why now is the best time for it to do so.
It is obvious this device is going to be an important part of Foxconn’s future, at least if you listen to what Hon Hai chairman Terry Gou has to say:
“With such a device, you can keep your phone in your pocket and simply check all kinds of messages on your watch.”
Gou is hoping to add new features in the future to make the device even more functional, such as fingerprint identification.
The rumor that Apple Inc. (NASDAQ:AAPL) will eventually announce an iWatch has been circulating for quite some time. While nobody knows for sure if and when this is going to happen, the rumor mill continues to swirl.
There is no reason to believe this device from Foxconn would directly compete with anything from Apple Inc. (NASDAQ:AAPL), however, it has be somewhat of a concern to both companies.
Stay tuned, as there will be plenty more to come on this story.