Foxconn opts Mexico as Manufacturing Destination for Nvidia's Superchips

Foxconn is building the world's largest manufacturing facility in Mexico for assembling Nvidia's GB200 superchips, a critical component in Nvidia's next-generation Blackwell computing platform, according to senior executives from the Taiwanese company. This move highlights Foxconn's expanding role in the artificial intelligence (AI) sector, as the company has been increasingly involved in assembling servers used for AI applications.

Benjamin Ting, Foxconn's senior vice president for the cloud enterprise solutions business group, emphasized the importance of their partnership with Nvidia, stating that demand for Nvidia's Blackwell platform is "awfully huge." Nvidia, which began shipping Blackwell samples to its partners and customers in August, expects the platform to generate several billion dollars in revenue in the fourth quarter.

Foxconn Chairman Young Liu confirmed that the new facility, located in Mexico, will have enormous production capacity. Foxconn already has a significant presence in Mexico, having invested over US$500 million in the state of Chihuahua.

Foxconn's supply chain is reportedly ready to support the growing demand for AI technologies, and the company has developed advanced liquid cooling and heat dissipation technologies necessary for the infrastructure of GB200 servers. This comes as Foxconn recorded its highest-ever revenue in the third quarter, driven by strong demand for AI servers.