[Taiwan Chip News] Strengthening Electric Vehicle and Robot Collaborative Supply Chains... NVIDIA-Foxconn Establish Gaoxiong AI Computing Center

NVIDIA AI Chip GB200 Computing Center
Collaboration in AI, Electric Vehicles, Robots, and Smart Cities

Foxconn Group, a subsidiary of Taiwan's Hon Hai Precision Industry, Apple’s largest partner, has decided to expand its collaboration with NVIDIA in the field of artificial intelligence (AI). The two companies announced on the 4th (local time) that they will build an advanced computing center in Kaohsiung, Taiwan, which is expected to strengthen the AI and semiconductor supply chain within Taiwan.

Jensen Huang, CEO of NVIDIA (center), is cheering together with Liu Yangwei, Chairman of Foxconn (right), at the Computex 2024 event.
[Image source=AP Yonhap News]

According to Foxconn, the two companies will build the fastest and largest AI computing center in Taiwan. It will use 64 server racks based on NVIDIA’s AI chip 'GB200'. The 64 server racks will be equipped with 4,608 graphics processing units (GPUs). Industry experts estimate that an NVIDIA GB200 NVL 72 server rack costs about $3 million (approximately 4 billion KRW) each. A rack refers to a product that stores PCs, servers, communication equipment, and various measuring instruments, creating the necessary environment for system configuration.

The companies plan to complete the center by 2026. The construction is expected to cost $192 million (approximately 262 billion KRW). Upon completion, it will be the largest AI computing center in Taiwan. The two companies plan to strengthen cooperation in various fields including AI, electric vehicles, robotics, and smart cities at this center.

Foxconn Chairman Liu Yangwei stated that the Kaohsiung AI computing center will be used to support Foxconn Group’s AI deployment and development. The center will conduct research and development on generative AI and NVIDIA’s 3D virtual platform Omniverse. At the same time, it will support computing power for AI factories.

Chairman Liu Yangwei mentioned that the Kaohsiung AI computing center will not only support Foxconn Group’s AI calculations but also consider leasing computing power. Instead of installing all 64 GB200 server racks at once, they plan to first install 32 racks and then complete the center in phases.

Chairman Liu emphasized that Foxconn Group may build computing centers not only in Taiwan but also in other countries. Japan was mentioned as a candidate location. South Korea was not mentioned. Liu Yangwei said, "For example, Foxconn’s Japanese subsidiary 'Sharp' can build a larger-scale computing center with more power supply," adding, "Sharp will make an announcement directly."

Taiwan Economic Daily News = Reporter Xiao Junhui / Translation = Asia Economy

※ This column is published through a strategic partnership between Asia Economy and Taiwan Economic Daily News.