Foxconn Chairman: AI And Robotics Will Replace Human Workers On The Assembly Line

Foxconn chairman, Young Liu (photo: x @SindhuHarih)

JAKARTA - In a key speech at Computex in Taipei on May 21, Foxconn Chairman, Young Liu, warned that generative AI and robotics may soon make low-form human labor no longer needed on assembly lines. This could have a huge impact far beyond the creation of the iPhone.

According to The Register's report, Liu revealed that after implementing the AI tool into Foxconn's workflow, the software is now doing about 80 percent of the work needed to configure equipment for new production. And this is done faster than humans can do.

Liu added that although a blend of 'robots and brains' cannot replace every human (which they have tried), this combination accelerates problem solving on the factory floor. However, the advantages of this productivity may come at a large cost to low-GDP countries:

"Generative AI and robotics will fill the void. (...) It was an opportunity I saw when a country became more prosperous. Low GDP work will be done by GenAI and robotics. (...) I think it is a real challenge for all developed countries. (...) I urge the leaders of developed countries to monitor this very carefully, Liu said.

Foxconn Prepares Its Own AI Model: FoxBrain

Liu also announced that Foxconn had refined their own version of Meta's Llama 3 and 4 models. This manufacturing-based model, named FoxBrain, will automatically perform specific tasks on the factory floor. Liu said Foxconn intends to open this model as an open source, although it does not give a deadline.

Despite some recent events, Foxconn is still assembling most of China's iPhones. Although Apple has expanded its production to countries such as India, Vietnam, and Brazil, a combination of China's advanced manufacturing expertise and, say... cost-effective workforce, remains a significant appeal.

Integrating AI and robotics into the manufacturing process has the potential to reduce dependence on cheap labor, which allows Apple to consider making iPhones in areas at higher costs. Of course, it will require China to just sit and watch everything go on, which is highly unlikely.

However, despite this, imitating the efficiency and scale of China's manufacturing ecosystem elsewhere will remain a complex endeavor, although Foxconn's automation push can, over time, shrink that gap.