Foxconn announced that it is constructing a major manufacturing plant in Mexico to assemble Nvidia’s GB200 superchips, a crucial element of Nvidia’s upcoming Blackwell computing platform. Senior executives from the Taiwanese company shared this news, emphasizing that this facility will be the world’s largest for producing these advanced chips. Foxconn, known for being the leading global contract electronics manufacturer and Apple’s primary iPhone assembler, is currently benefiting from the increasing demand for AI servers, which it helps to produce.
Benjamin Ting, Foxconn’s senior vice president for the cloud enterprise solutions division, highlighted the scale of the project, stating, “We’re building the largest GB200 production facility on the planet.” Nvidia, having made design adjustments, began shipping samples of the Blackwell chips in August and expects significant revenue from them in the fourth quarter.
Ting emphasized the importance of the partnership between Foxconn and Nvidia, noting high demand for the Blackwell platform. He made these comments during the company’s annual tech event in Taipei, alongside Deepu Talla, Nvidia’s vice president for AI and robotics. Foxconn Chairman Young Liu confirmed that the large-scale production plant in Mexico would have substantial capacity, though he did not provide specific details. Foxconn has already invested over $500 million in its operations in the state of Chihuahua, Mexico.
Liu highlighted that Foxconn’s supply chain is well-prepared for the growth in AI, with manufacturing capabilities that include advanced cooling technologies needed for the GB200 servers. He also expressed optimism about the company’s performance for the current quarter, following record revenue in the third quarter due to strong demand for AI servers.
Beyond AI servers, Foxconn is working to diversify beyond its role as a consumer electronics assembler for Apple. The company aims to leverage its technological expertise to enter the electric vehicle (EV) manufacturing market, both as a contract manufacturer and as a producer of vehicles through its Foxtron brand. Addressing the competitive nature of the EV market amidst decreasing demand, Liu affirmed Foxconn’s commitment to this sector, noting that the removal of the “engine barrier” allows automakers to outsource more parts of car production.
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