Illustration by Alex Castro / The Verge
iPhone assembler Foxconn is dropping out of a $19.5 billion deal with a major Indian company to build a semiconductor factory in the country, according to Reuters. The canceled Foxconn deal was part of a joint venture with the large oil and metal corporation Vedanta.
Foxconn provided a vague explanation as to why it ended its plans to build a semiconductor facility in the country. “Foxconn has determined it will not move forward on the joint venture with Vedanta,” reads a company statement to Reuters. Foxconn says the deal was ended mutually. Vedanta has “lined up other partners” to set up the foundry, the company said in a statement.
The Foxconn-Vedanta fallout is a blow to Indian Prime Minister Narendra Modi’s economic growth efforts…