EU OKs Foxconn bid for Sony's TV production in Slovakia, Mexico

The European Commission on Monday approved IT firm Foxconn's takeover of Sony's television production in Slovakia and Mexico.

The commission said in a statement that its in-depth examination found no significant impact on competition in the European market, or any substantial part of it.

Foxconn provides external assembly services, the so-called electronic manufacturing services (EMS), to original equipment manufacturers (OEMs), while Sony entities to be acquired in Slovakia and Mexico currently supply Sony's in-house production of LCD televisions.

The commission said the overlaps between Foxconn and Sony's entities in the assembly of electronic products of these two countries are limited.

The commission's market investigation also confirmed that OEMs have a strong bargaining position with EMS providers. Foxconn would continue to face several effective competitors after the acquisition.

Foxconn is the world's largest contract assembler of electronics and computer goods, making devices for well-known brands such as Apple, Nokia, Dell and Sony.

Source: Xinhua