Nvidia to Spend $150 Billion a Year in ‘AI Epicentre’ Taiwan

Nvidia will increase investment in Taiwan to $150 billion a year, the U.S. chip giant’s boss said on Wednesday, describing the export-driven island as “the epicenter of the artificial intelligence revolution”.

Jensen Huang, chief executive of the world’s most valuable company, said “Taiwan is booming” and Nvidia’s investment of more than $100 billion will “drive the incredible ecosystem here.”

Taiwan is a manufacturing powerhouse of semiconductors used to train and drive artificial intelligence systems.

Also on AF: Huawei says its advanced chip technology can circumvent U.S. restrictions

The island is home to hardware production giants TSMC, which turns Nvidia’s cutting-edge designs into silicon components, and Foxconn, which assembles processors to make data center servers.

“Four years ago, five years ago, Nvidia was spending about $10 to $15 billion a year in Taiwan,” Huang said in Taipei, where the company is building a new office that will be able to house “about 4,000 engineers.”

“Right now, we spend $10 to $150 billion a year in Taiwan.”

Taiwan’s economy soared last year as exports of artificial intelligence hardware soared as governments and companies around the world poured hundreds of billions of dollars into developing the technology.

“Taiwan is the center of the AI ​​revolution,” Huang said.

“This is where the chips are, the packaging is. This is where the systems are made. This is where the AI ​​supercomputers are created,” he said.

“World Technology Manufacturing Center”

Huang Renxun said that Nvidia “will continue to grow” in Taiwan. “For a long time to come, this place will become the world’s manufacturing, technology, and electronics manufacturing center,” Huang said.

“So we will be here to provide support, work with our ecosystem, jointly engineer with our ecosystem partners and support their development. So this will be a very important site for us.”

Huang will be in Taipei next week to attend Computex, Taiwan’s top technology show.

His comments came after Nvidia last week reported record quarterly revenue of $81.6 billion, beating Wall Street expectations and driving another blockbuster quarter by insatiable demand for its artificial intelligence hardware.

First-quarter results increased 85% from the same period last year and 20% from the previous quarter, highlighting Nvidia’s position as a major beneficiary of global artificial intelligence infrastructure construction.

Net profit soared to $58.3 billion, more than tripling from $18.8 billion in the same period a year earlier.

• Vishakha Saxena Additional Editor AFP

Also read:

AMD will invest more than US$10 billion in Taiwan to improve AI chip packaging

Alibaba unveils new AI chip, Nvidia still left out

China expresses willingness to cooperate with the United States on artificial intelligence governance

TSMC’s net profit jumps more than 58% as demand for artificial intelligence reaches new highs

Xi Jinping warns Taiwan could cause ‘conflict’ as Trump summit begins

China expresses willingness to cooperate with the United States on artificial intelligence governance

Chinese AI circuit board company raises US$2 billion, becomes Hong Kong listed company of the year

Samsung Electronics expects profits to surge 755% due to AI boom

Visakha Saxena

Vishakha Saxena is Asia Finance’s multimedia and social media editor. She has been a digital journalist since 2013 and is an experienced writer and multimedia producer. As a trader and investor, she is interested in the new economy, emerging markets, and the intersection of finance and society. You can write to her: [email protected]