Ahead of phone 16, AI require boosts Apple provider Foxconn’s profits

Workers in a Foxconn plant
Last updated 20 minutes agoFoxconn has reported a fourth quarter of profits increases. It attributes this to the demand for AI servers. Foxconn reported higher profits in the previous quarter due to better than expected iPhone demand. This is likely to continue, especially with the upcoming launch of the iPhone 16 line. However, Foxconn claims that its “strong growth momentum”, for the quarter April to June 2024 came primarily from AI servers. CNBC reports that these servers accounted over 40% of Foxconn’s server business during the quarter. Foxconn’s net profit for the quarter rose to 35.05 New Taiwan Dollars ($1.09 billion), compared with NT$33.05 billion in 2023. This is a 6% increase in net profit and was above analysts’ expectations. Foxconn cited AI server demand but also began production of the new iPhone in the quarter that began in April. Apple is responsible for more than half the revenue of Foxconn.