Dot Hill Signs With Contract Manufacturer Foxconn

Dot Hill Systems Corp. has entered into a manufacturing agreement with Foxconn Technology Group, a leading provider of contract manufacturing, original design manufacturing services and global IT supply chain services.

Under the terms of the agreement, Foxconn will supply Dot Hill with manufacturing, assembly and test services from its facilities in China and final integration services including final assembly, testing and configure-to-order services, through its worldwide facilities.

"Foxconn has world-class global capabilities in supply chain management, manufacturing, new product introduction and chassis engineering services," said Dana Kammersgard, president and chief executive officer of Dot Hill. "By partnering with Foxconn, we believe we will be able to benefit from their vertical integration, strong process control and economies of scale as well as their global distribution system that mirrors our own markets. This is another step forward in our global supply chain strategy. We believe our new relationship with Foxconn can greatly benefit Dot Hill through process efficiencies, global logistics strength and a material reduction of our product manufacturing costs, and as such, this represents another aspect of our margin improvement initiative. Through extensive research and discussion with our OEM partners as well as stringent quality audits, we feel Foxconn is uniquely suited to address Dot Hill’s growing supply chain needs, which are being driven by the success of our OEM partnerships."

"We are pleased to have been selected by Dot Hill as their global partner for strategic manufacturing, design services and distribution," said Jackson Shih, vice president, Foxconn. "The relationship will be mutually beneficial as it will allow Foxconn to further expand its strength in the data storage market while providing Dot Hill with better efficiency that leads to margin-enhancing products and a competitive supply chain model."