Foxconn will increase the capacity of the Mexican plant for the production of Nvidia AI servers

Hon Hai Precision Industry, better known by its brand name Foxconn, intends to increase its server production capacity. In this way, the company intends to meet higher-than-expected demand for systems with Nvidia chips, which are used to develop artificial intelligence systems.

Image source: nvidia.com

Demand for systems on next-generation Nvidia Blackwell chips has been “crazy,” Foxconn Chairman Young Liu told Bloomberg, echoing an earlier statement by Nvidia CEO Jensen Huang. Now the Taiwanese company is building in Mexico the world’s largest assembly plant for the production of servers based on advanced Nvidia Grace Blackwell chips. The planned capacity of the enterprise for 2025 is 20,000 GB200 NVL 72 servers – the company for the first time revealed the scale of the future factory.

«There has been a lot of talk that the need for computing equipment may soon become saturated. But it seems that demand is still growing. So this is beyond our expectations,” Mr. Liu said. He again confirmed that there were difficulties in the production of the GB200 servers, but promised that deliveries would start at the end of the fourth quarter. At the same time, Nvidia CFO Colette Kress announced in August that the company intends to ship several billion dollars worth of Blackwell chips in the fourth quarter of the 2025 fiscal year (ends in January).