Nvidia, the world’s most valuable chip company, and Foxconn, the manufacturer of iPhones, are collaborating to establish “AI factories.”
These innovative data centers will be powered by Nvidia chips and will support a wide range of applications, including the training of autonomous vehicles, robotics, and large language models.
The partnership’s announcement comes as the United States plans to impose stricter export restrictions on advanced chips to China, posing a challenge to Nvidia.
The new export restrictions will block the sale of two high-end artificial intelligence chips, A800 and H800, developed by Nvidia for the Chinese market.
During Foxconn’s annual tech showcase in Taipei, Nvidia’s CEO, Jensen Huang, and Foxconn’s chairman, Young Liu, shared the stage.
Huang described these AI factories as a new form of manufacturing, emphasizing that they produce intelligence, and Foxconn possesses the expertise and scale to establish these factories globally.
Liu highlighted Foxconn’s transition from a manufacturing service company to a platform solution company, with applications extending to smart cities and smart manufacturing, in addition to AI factories.
Nvidia’s stock market value has soared to over $1 trillion due to its advanced chips’ use in AI applications, with its shares tripling in value this year.
This achievement places Nvidia among the “Trillion dollar club,” which includes Apple, Microsoft, Alphabet, and Amazon.
Foxconn, known for manufacturing more than half of the world’s Apple products, is diversifying its business and is particularly focused on the growth of electric vehicles (EVs).
Earlier this year, Foxconn and Nvidia announced a partnership to develop autonomous vehicle platforms, with Foxconn manufacturing electronic control units for vehicles based on Nvidia’s chips.
Source-BBC