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Nvidia to Build 'AI Factories' With Foxconn

They are a new type of data center focused on 'the production of intelligence.'

 & Matthew Humphries Former Senior Editor

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Nvidia and Foxconn are teaming up to create a new class of data center focused entirely on artificial intelligence workloads.

The announcement was made during a fireside chat with Nvidia founder and CEO Jensen Huang and Foxconn Chairman and CEO Young Liu at Hon Hai Tech Day, in Taipei. These so-called "AI Factories" will be packed full of Nvidia's GPU computing infrastructure, including the latest Nvidia GH200 Grace Hopper Superchip.

Referring to the partnership, Huang said, "A new type of manufacturing has emerged — the production of intelligence. And the data centers that produce it are AI factories ... Foxconn, the world’s largest manufacturer, has the expertise and scale to build AI factories globally. We are delighted to expand our decade-long partnership with Foxconn to accelerate the AI industrial revolution."

Once operational, the AI Factories will tackle a wide range of AI-focused applications, including "digitalization of manufacturing and inspection workflows, development of AI-powered electric vehicle and robotics platforms, and a growing number of language-based generative AI services."

Foxconn will use the new data centers for its next-generation autonomous vehicles (Foxconn Smart EV), robotic systems for manufacturing (Foxconn Smart Manufacturing), and intelligent video applications (Foxconn Smart City). All of them will run on Nvidia's AI Enterprise software platform.

The only limitation this partnership will likely face is where these AI Factories are allowed to be constructed. With the tightening of export controls by the US government for advanced technology and AI chips in particular, it's unlikely we'll see one of these new data centers being built in China. This week the Chinese government was called out for massive IP theft and using AI for hacking on an unprecedented scale, which could lead to even harsher restrictions being introduced.

About Our Expert

Matthew Humphries

Matthew Humphries

Former Senior Editor

My Experience

I started working at PCMag in November 2016, covering all areas of technology and video game news. Before that I spent nearly 15 years working at Geek.com as a writer and editor. I also spent the first six years after leaving university as a professional game designer working with Disney, Games Workshop, 20th Century Fox, and Vivendi.

I hold two degrees: a Bachelor's degree in Computer Science and a Master's degree in Games Development. My first book, Make Your Own Pixel Art, is available from all good book shops.

My Areas of Expertise

  • PC components and system building
  • Raspberry Pi
  • Software development
  • Storage technology
  • Video games and gaming hardware

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