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Nvidia partner Hon Hai boosts capacity to meet ‘crazy’ AI demand

Bloomberg
Bloomberg • 2 min read
Nvidia partner Hon Hai boosts capacity to meet ‘crazy’ AI demand
Hon Hai Precision Industry plans to boost server capacity to meet stronger-than-anticipated demand for Nvidia chips used to develop AI. Photo: Bloomberg
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Hon Hai Precision Industry plans to boost server capacity to meet stronger-than-anticipated demand for Nvidia chips used to develop AI, reflecting its expectations that spending on artificial intelligence will stay high.

Chairman Young Liu told Bloomberg Television that demand for the next-generation Blackwell chips was “crazy”, echoing similar remarks from Nvidia CEO Jensen Huang last week. 

The Taiwanese company is now building the world’s largest assembly plant for servers housing Nvidia’s most advanced Grace Blackwell chips in Mexico. Hon Hai will have a planned capacity of 20,000 GB200 NVL 72 servers in 2025, according to Liu, disclosing its scale for the first time.

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