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Foxconn to build world’s largest Nvidia chip plant in Mexico

Nvidia chips to be assembled at new Foxconn Mexico facility

Foxconn is constructing the world’s largest manufacturing facility in Mexico to assemble Nvidia’s GB200 superchips. These superchips are vital for Nvidia’s next-generation Blackwell computing platform, as revealed by senior executives from the Taiwanese company on Tuesday.

Foxconn, renowned as the globe’s leading contract electronics manufacturer and Apple’s primary iPhone assembler, is capitalising on the surge in artificial intelligence demand by assembling servers that handle AI tasks. “We’re establishing the largest GB200 production facility globally,” stated Benjamin Ting, The senior vice president for the cloud enterprise solutions business group. A source from the Mexican government mentioned that the plant will be located in Guadalajara.

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Nvidia announced in August that it began shipping Blackwell samples to partners and clients after refining its design, forecasting substantial revenue from these chips in the fourth quarter. Ting highlighted the significance of the Foxconn-Nvidia partnership and the overwhelming demand for Nvidia’s Blackwell platform. “The demand is extraordinarily high,” Ting remarked during the company’s annual tech day in Taipei, alongside Deepu Talla, Nvidia’s vice president for AI and robotics.

Later, Foxconn Chairman Young Liu confirmed to reporters that the plant in Mexico would possess immense capacity but did not provide further details. They already established a significant manufacturing footprint in Mexico, investing over $500 million in Chihuahua state. Liu mentioned that Foxconn’s supply chain is prepared for the AI revolution, boasting advanced liquid cooling and heat dissipation technologies essential for the GB200 server’s infrastructure. He also indicated a strong outlook for the current quarter without providing specific figures.

On Saturday, Foxconn reported its highest-ever revenue for the third quarter due to high demand for AI servers. Additionally, Foxconn is diversifying beyond consumer electronics for Apple, aiming to leverage its technological expertise in electric vehicle (EV) contract manufacturing and produce vehicles under the Foxtron brand. Addressing intense competition in the global EV market amidst slowing demand, Liu affirmed Foxconn’s commitment to the sector. “It is the right direction, and we will continue to work tirelessly towards that,” he stated, noting that in the EV realm, the “engine barrier” no longer exists, allowing automakers to outsource car manufacturing.

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What Other Media Are Saying
  • SCMP reports on Foxconn building the world’s largest Nvidia superchip facility in Mexico, driven by AI demand, enhancing global AI and server infrastructure capabilities.(read more)
  • Techtimes reports Foxconn building the world’s largest manufacturing facility in Mexico for Nvidia’s GB200 Superchips, leveraging massive AI demand and strategic supply chain improvements.(read more)
  • Mexico News Daily reports on Foxconn building the world’s largest Nvidia superchip plant in Guadalajara, highlighting massive demand and strategic importance in Mexico’s semiconductor industry growth.(read more)
Frequently Asked Questions

Here are some common questions asked about this news

Where is Foxconn building the Nvidia GB200 production facility?

In Guadalajara, Mexico.

What is the significance of Foxconn’s partnership with Nvidia?

It’s crucial due to high demand for Nvidia’s Blackwell platform.

What technologies does Foxconn use for the GB200 server infrastructure?

Advanced liquid cooling and heat dissipation technologies.

What was Foxconn’s financial performance in the third quarter?

Foxconn posted its highest-ever revenue due to strong demand for AI servers.

Is Foxconn planning to expand beyond consumer electronics for Apple?

Yes, Foxconn aims to offer electric vehicle contract manufacturing.

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Matthew Coles

Matthew is a British journalist with a unique flair in reporting about the latest news and events happening in Europe. Matthew focuses on producing well-researched, balanced, and narrative-driven content related to both national and regional interests across various European countries. He is passionate about discovering the diverse cultures found within Europe and showcasing them through his insightful articles.

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