Nvidia ties up with Foxconn to bring AI to factories and manufacturing lines

Nvidia on Friday announced that it is working with Foxconn to bring artificial intelligence (AI) to the contract chip manufacturer's factories and manufacturing lines.

Spencer Huang of Nvidia, son of CEO Jensen Huang, made the major announcement on the day, which happened to be Foxconn's tech day. He is the product line manager at Nvidia's leading robotics product.

Foxconn-Nvidia's supercomputing centre to be ready soon

Making further announcements, Foxconn said that its $1.4 billion supercomputing centre being built with Nvidia will be ready by the first half of 2026. When complete, this centre will be Taiwan's largest advanced GPU cluster.

The 27-megawatt data centre will be powered by Nvidia's new Blackwell GB300 chips and is also set to be Asia's first GB300 AI data centre, said Neo Yao, CEO of a new unit Foxconn has established for AI supercomputing and cloud operations called Visonbay.ai.

“As GPU technology accelerates, building individual facilities may no longer make economic sense,” said Nvidia vice president Alexis Bjorlin.

The announcement was made at the contract electronics manufacturer's tech day, which was attended by Foxconn's partners and clients including Nvidia, OpenAI and Uber.

“Renting compute resources may offer a far better return on investment, enabling flexibility and enabling companies to scale their compute according to both product and business cycles,” Bjorlin said.

Neo Yao said that the project is central to the firm's push into "sovereign AI," or the ability to develop and govern AI systems using domestic data, infrastructure and talent.

He said Foxconn has already deployed four AI server racks equipped with Nvidia's GB200 GPU systems and plans to install 144 GB300 platforms at the new site next year as its AI roadmap accelerates.

Visionbay.ai describes itself as a trusted Nvidia Cloud Partner and says it is deepening collaboration with Nvidia to build next-generation AI infrastructure across Asia.

Earlier Friday, Foxconn said it will also cooperate with OpenAI and Alphabet's Intrinsic on AI-related projects in the United States as part of its broader "3 plus 3" diversification strategy.

The strategy covers three emerging industries -- electric vehicles, robots, and digital health care -- which the company said it is developing via AI, semiconductor, and communications technologies.