What changes have robots brought? Apple's second largest foundry reduces the number of recruits

The new iPhone is just around the corner, and Apple’s two foundries, Fang Fu Zhikang and He Shuo, have already started recruiting employees.

Unlike the previous recruitment target of 40,000 yuan, this year's largest production plant in Shanghai, Shanghai Changshuo did not disclose the specific number of recruits, and the application scene was somewhat deserted.

"IT Times" quoted Changshuo's outsourcing of the workers' resources company, said that Changshuo gave a complete recruitment plan from the beginning, and this year is "depending on the situation."

According to the Apple Daily, Heshuo had about 140,000 workers in four factories in mainland China last year, and the total number of workers this year has dropped to 120,000, a decrease of about 15%.

He Shuo said that this is because he has assembled 8,000 to 10,000 automated robots on the production line. It used to require 100 workers to complete the work. With the help of robots, only 20 people are needed.

On the other hand, Shanghai Changshuo's total number of people in the first half of the year was close to 50,000. Due to local policies, there is no room for expansion. Since October last year, Shanghai Changshuo has begun to transfer production capacity and employees to Suzhou and Kunshan.

As of the end of last year, the total number of employees of Kunshan Shishuo has reached 10,000. It is expected to increase to 40,000 in 2017, and will gradually replace Shanghai Changshuo in the next 2-3 years, becoming the largest foundry factory of Heshuo.

However, the introduction of robots and the transfer of factories have not helped the overall revenue growth of the Heshuo Group so far.

Since 2011, Heshuo, the well-known foundry of Taiwan, has entered the iPhone OEM sequence, and in 2014 it has received nearly 40% of the 4.7-inch iPhone 6 orders - hundreds of millions.

In order to absorb the huge amount of orders, Heshuo once recruited employees in a frenzy, and enjoyed the dividends brought by low-cost labor for a period of time.

But the iPhone 6s failed to reproduce the growth of the previous generation.

According to the earnings report released by Heshuo, the revenue in the first quarter of 2016 decreased by 6.5% compared with the same period of last year.

According to a report by Taiwan's United News Network, Heshuo has already forecast a weak second-quarter revenue. Just the last two quarters are also the two quarters of Apple's worst growth in the past 13 years.

It’s not just the iPhone that sells better than it did in previous years. Laptops have not improved for several years. Affected by this, total revenue in the second quarter is expected to be NT$224.98 billion, a decrease of 12.2% compared to the first quarter.

From the perspective of profit margin, Heshuo can only maintain a profit margin of around 3% through OEM in the last two years.

Although Heshuo claims to have been automating production for many years, compared to the sluggish iPhone and PC market, the robots on the assembly line have not changed.

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