BYD, a company that originally focused on the automotive business, is now gradually becoming a giant in China's electronics foundry field. According to Wang Haoyu, deputy general manager of BYD's energy storage and new battery division, at the 2024 Zhongguancun Forum annual meeting, BYD's electronic foundry business generated an annual revenue of about 150 billion yuan, and one of its major customers includes well-known mobile phone brands such as Huawei and Xiaomi, which has attracted widespread attention.
Most of the mobile phones of well-known mobile phone brands such as Huawei and Xiaomi are actually produced by BYD, of which Huawei mobile phones have reached 90%, which means that the hardware of these mobile phones is mainly produced by BYD. At the same time, BYD also produces tablets, mobile phones and other electronic components for companies such as Apple, providing them with reliable manufacturing services.
Behind this phenomenon is the rise and change of China's manufacturing industry. As one of the largest electronics foundries in China, BYD's success is not only due to its advanced manufacturing technology and efficient production capacity, but also because of its continuous competitive advantage in the market competition and its ability to respond flexibly to market demand.
The rise of BYD has had a profound impact on China's electronics industry and even the global industrial pattern. First, it elevates China's position in the global electronics manufacturing industry, making it one of the most important electronics manufacturing bases in the world. Secondly, BYD's success has also set an example for other electronic foundries in China, encouraging more companies to increase technology investment and innovation to enhance their competitiveness.
However, the electronic foundry model represented by BYD also faces some challenges and controversies. On the one hand, for brand enterprises, outsourcing the manufacturing process to the foundry may reduce the control and innovation ability of the product, and increase the risk of supply chain management. On the other hand, for foundries, relying on orders from a few brands may expose them to market volatility and risks.
To sum up, BYD, as a leading enterprise in China's electronics industry, represents the progress and development of China's manufacturing industry. However, in the face of increasingly fierce market competition and global economic changes, BYD also needs to continue to innovate and adjust its strategy to maintain its competitive advantage and make greater contributions to the sustainable development of China's electronics industry.