Sharp Considers Selling Semiconductor and Smartphone Camera Module Businesses to Hon Hai

TapTechNews August 12th news, Sharp announced on August 9th that it is considering selling its semiconductor business and the camera module business for smartphones to Hon Hai within this fiscal year. Regarding the sale amount, Sharp President Okitsu Masahiro said that since the negotiation has just begun, more details are not convenient to disclose at present.

TapTechNews noted that as early as July 11th, there were reports that the Foxconn Group has entered the advanced packaging field, focusing on the currently mainstream panel-level fan-out packaging (FOPLP) semiconductor solution. After its subsidiary Innolux, Sharp, which is invested by the Foxconn Group, also announced its entry into the Japanese panel-level fan-out packaging field, and it is expected to go into production in 2026.

According to public information, the Foxconn Group currently holds a 10.5% stake in Sharp. The group said that it will not increase or decrease its holdings at this stage and will maintain the existing investment relationship.

At the regular shareholders' meeting and the board meeting held by Sharp on June 27th, a resolution was passed to adopt a new system. Sharp said that the company will strengthen corporate governance through the board including 6 independent external directors and promote a lightweight asset strategy, and will appoint Hon Hai's chairman Liu Yangwei as a non-executive chairman to strengthen the medium- and long-term development cooperation with Hon Hai.