Sharp’s EV van will be based on the same platform as the Model C. The division of labor will see Hon Hai providing the hardware that will form the basis of the EV, while Sharp will be responsible for the design and development of the interior space and functions. Hon Hai is developing EVs because it believes it can significantly expand its business in the future, centering on contract production of EVs. EV sales growth is slowing worldwide, but this will change as batteries become cheaper and charging times become shorter, explained Hon Hai’s Seki, who gave the keynote speech at the event.

“We are developing solid-state and semi-solid-state batteries, and we think the charging time to 90 percent will be about five minutes,” Seki said. “I can’t say for sure 2027 or 2028, but I think it will happen fairly soon.”

Hon Hai is steadily working to create the ecosystem that will be necessary when the shift to EVs becomes more widespread in the next few years. According to Seki, Hon Hai has established a system that covers everything from supplying EV parts, modules, and platforms to contract manufacturing, and is also expanding into the business of charging systems and home batteries.

Turning EVs Into Smartphones

In addition, Hon Hai is leading the MIH Consortium, the world’s largest open platform for EV development. The group’s aim is to make EV development easier by formulating standards for parts and software required for EV development and mass production, and by having participating companies supply them. There are already over 2,700 participating companies, including many Japanese companies and Japanese-affiliated companies, making it a hidden powerhouse in the automotive industry.

Strengthening this system will lead to Hon Hai not only accepting EV contract manufacturing, but also taking on the entire business from the design and development stage onwards. In other words, the company is trying to take the formula that brought it so much success in the smartphone field and apply it to EVs.

When Foxconn’s efforts get on track, EVs have the potential to truly become “smartphone-like,” and the automotive industry will reach a major turning point. The joint development of EVs with Sharp will surely be a test of that.

This story was originally published by WIRED Japan.