Electronista spreads word that Foxconn and Sharp are mulling to spend $1 billion in the latter's LCD plant in Sakai, Japan to boost production of LCD displays for Apple's devices. Additionally, Foxconn also expressed interest in buying Sharp's TV assembly plants in China and Mexico. Why Foxconn is interested in TV assembly factories is unknown, but perhaps it has something to do with Apple's rumored TV set project.
Both parties are reportedly still negotiating a deal that would give Hon Hai/Foxconn at least a 9.9 percent stake in Sharp. Lin comments that the outcome of talks is contingent on how much input Sharp would be willing to take on increasing profits. He hints moreover that if a deal is reached, it could lower Sharp's component prices. During the past year Hon Hai has been taking advantage of falling Sharp stocks; in March Foxconn was announced as buying a 10 percent stake in Sharp's LCD business.