By Yimo Li
TAIPEI (Reuters) – Foxconn is building the world’s largest manufacturing facility in Mexico to assemble Nvidia’s (NASDAQ:) GB200 super chips, a key component in the U.S. company’s next-generation Blackwell family computing platform, the company’s top executives said. Taiwanese on the 23rd. Tuesday.
Foxconn, the world’s largest contract electronics manufacturer and known as Apple’s (NASDAQ:) largest iPhone assembler, has benefited from the AI boom as it assembles servers used to process AI work.
“We are building the largest GB200 production facility on the planet,” said Benjamin Ting, senior vice president of Foxconn’s Enterprise Cloud Solutions business group.
A Mexican government source said the plant will be built in the city of Guadalajara.
Nvidia said in August that it had begun shipping Blackwell samples to its partners and customers after tweaking its design, and it expected multi-billion-dollar revenue from those chips in the fourth quarter.
Ting said the partnership between his company and Nvidia was very important and everyone was asking for the Blackwell platform from Nvidia.
“The demand is absolutely huge,” Ting said at the company’s annual Technology Day in Taipei, standing next to Nvidia’s vice president of artificial intelligence and robotics, Debo Tala.
Speaking to reporters later, Foxconn President Yong Liu said the plant is being built in Mexico, and the capacity there will be “pretty massive.” He did not go into details.
Foxconn already has a significant manufacturing presence in Mexico and has invested more than $500 million to date in the state of Chihuahua.
Liu said the company’s supply chain was ready for the AI revolution, adding that its manufacturing capabilities include “advanced liquid cooling and heat dissipation technologies needed to complement the GB200 server infrastructure.”
He said that the company’s expectations in the current quarter are strong, but did not provide details. Foxconn on Saturday reported its highest revenue ever for the third quarter thanks to strong demand for its artificial intelligence servers.
Another focus for Foxconn is ambitious plans to diversify away from its role in building consumer electronics for Apple, hoping to use its technical expertise to offer contract manufacturing for electric vehicles as well as produce vehicles using models made by the Foxtron brand.
In response to a question about the fierce competition in the global electric vehicle market amid the slowdown in demand, Liu said that Foxconn is committed to this sector.
“This is the right direction and we will continue to work hard to achieve this,” he said, adding that with electric cars, the “engine barrier” no longer exists in car manufacturing.
Automakers “don’t need to make the entire car themselves anymore,” he said.