`Q & A
01732 759725
12
PrintIT Reseller.
Why does Sharp
refer to Foxconn’s investment as an
alliance and not a take-over?
Jun Ashida (JA)
: Because it is an
investment of
€
3.1 billion by Foxconn
in Sharp. We continue to be Sharp, an
independent company. We are the ones
who decide our strategy, our direction and
also how we maximise the power of that
investment.
PITR
:
Do you have a specific figure
on what is being invested in the
Business Solutions Group?
JA:
Roughly
€
310 million. But this is not
an investment from Foxconn; it is Sharp’s
investment. Foxconn is investing
€
3.1
billion to become a major stakeholder in
Sharp. Thereafter, what we choose to invest
in is up to us. Sharp’s investment plan is
divided into several product categories –
display technologies, consumer electronics
and so on – including Business Solutions
Group, our B2B business, which is getting
a total of
€
310 million. How we invest that
is something we are now discussing.
PITR:
What does Foxconn bring to
Sharp, other than cash and stability?
JA:
This collaboration, this alliance
obviously brings stability to Sharp
Corporation – there is much less to worry
about in our global day-to-day business
operations and Foxconn’s financial backing
lets us pursue our investment goals more
positively. Another major benefit is the
opportunity for synergy. Foxconn has the
most advanced manufacturing technology
and massive purchasing power, which
offers major possibilities for Sharp. Then,
there are things that we have that they
don’t, like the Sharp brand and product
innovation and technology. The synergy
of those ingredients gives us major
opportunities, which both parties want to
pursue.
PITR:
Foxconn is reported to want
Sharp’s expertise in displays. Does
the alliance make it more or less
likely that Sharp Business Solutions
Group will be sold?
JA:
(laughing) Business Solutions Group
has been, and continues to be, one of
Sharp’s core businesses. In fact, it is
probably becoming more important. That’s
also how Foxconn sees it. They view this
as a big opportunity as well. So there are
no such discussions. Rather, we are having
very positive talks with them about what
the synergy between the two companies
can do for Business Solutions, as part
of Sharp. Of course, in their joint press
conference, our President Mr Takahashi
On March 30, Sharp announced a strategic alliance with Hon Hai, aka Foxconn,
the contract electronics manufacturer best known for its relationship with Apple.
The Taiwanese company took a 66% stake in Sharp in return for an investment of
€
3.1 billion. Following the announcement,
PrintIT Reseller
spoke to Jun Ashida,
President of Sharp Information Systems Europe, about what the agreement
means for Sharp and for its Document Solutions Business in particular.
A springboard for growth
and Mr Terry Gou [founder and CEO of
Foxconn] emphasised the technology
synergy of the display areas. This will
benefit Sharp overall and should also
benefit Business Solutions Group.
PITR:
Will Sharp Business Solutions
Group continue to be run as a
separate business, in line with your
recent corporate restructuring?
JA:
Yes. Inside the Sharp Corporation
we have created five internal, virtual
companies, one of which is the Business
Solutions Group. That structure remains the
same. The direction remains the same.
PITR:
Last autumn, you said you
were focusing very much on the B2B
market and withdrawing from some
consumer markets in Europe. Yet Mr
Gou wants to make Sharp a massive
consumer brand again.
JA:
You are right. Sharp Corporation
has been restructuring the consumer
electronics (CE) business, starting in
Europe. Apart from the Italian and Russian
markets, we basically ceased our Sharp
brand CE business in Europe. At this stage,
there have been no particular discussions
about the European CE business. But you
are right, Mr Gou wants to invest in the
consumer electronics and home appliances
areas. I am not sure if you are familiar with
our latest product, the Robohon, an AI-
integrated smart mobile phone and robot
lookalike. That is one area of consumer
electronics in which Sharp will want to go
Jun Ashida,
President
Sharp
Information
Systems Europe
Foxconn has
the most
advanced
manufacturing
technology
and massive
purchasing
power, which
offers major
possibilities
for Sharp
Continued...
