Foxconn, an electronic company in Taiwan with trade name Hon Hai Precision Co. Ltd., signed a memorandum of understanding with the government of India to invest $5B in manufacturing, research and development and a smart city.

In a report from the Times of Oman, Foxconn Technology announced an MOU deal in India with $5B covering Foxconn's production and research and development for up to five years in Maharashtra.

Foxconn is targeting either Mumbai or Pune to build the 1,500-acre production plant. The project will grant 50,000 direct jobs to Indian nationals. It is one of the largest single foreign direct investment in the country, according to India Chief Minister Devendra Fadnavis.

The Indian Express reported that the transaction is not only part of Prime Minister Nerendra Modi's 'Make in India' program to attract foreign businesses to manufacture merchandise in India.

Terry Gou, Foxconn chairman, said the country fits the company's long-term innovation plans because it is home to excellent workers and finest technology facilities. Added to that, the leading financial center also resides in India.

The venture involves three sites. First is the proposed 900-acre manufacturing spot in Pune. Second is the research and development center. Third is a smart city, an area for information communication technology, which will accommodate schools and employees. The R&D hub might be located in Khalapur and Pen-Khopoli Road in Mumbai since it could be set nearby each other.

Foxconn is collaborating with IIT-Bombay, Tata Sons, Bharat Forge, TCS and Shapoorji Pallonji as local partners in the investment.

The company also tied-up with Whistling Woods International, a media art school founded by film director Subhash Ghai to create media contents. "Foxconn has provided us technical video-editing equipment and said it is willing to create digital content in association with Whistling Woods," Ghai said in an interview with the Business Standard.

Foxconn is a multinational electronics corporation in Taiwan known to manufacture Xiaomi smartphones, Samsung devices and Apple iPhones.