"Taiwan Pegatron to Launch NVIDIA Next-Gen 'Blackwell' Server Chips in December"

Reports from Taiwanese Media Including Ziyou Shibao

Taiwanese electronics manufacturer Pegatron (和碩) is scheduled to launch NVIDIA's next-generation artificial intelligence (AI) chip 'Blackwell' servers this December, according to local media including Liberty Times on the 22nd.

According to reports, sources stated that Pegatron began small shipments of HGX servers equipped with eight NVIDIA H100 AI chips starting from the first quarter of this year, and from the third quarter, they expanded their production line in Mexico. The Blackwell servers are expected to be shipped starting this December. Blackwell is the latest chip following NVIDIA's existing AI chips such as the H100 and H200 in the Hopper series, and full-scale mass production will begin in the fourth quarter.

[Image source=Reuters Yonhap News]

Pegatron, a subcontractor for Apple's iPhone production, is a company closely aligning its relationship by riding the AI wave led by NVIDIA. Another source revealed that Pegatron's co-CEO Zheng Guangzi and CTO Xu Yanzhen met NVIDIA CEO Jensen Huang at the 'OCP Global Summit' held in San Jose, California, USA, from the 15th to the 17th.

Earlier, Pegatron Chairman Tong Zixian also met CEO Huang at Asia's largest information technology (IT) exhibition 'Computex 2024' in June and said regarding Pegatron's entry into the AI server field, "It is never too late to participate in the AI sector." Pegatron also attracted attention by demonstrating how to use NVIDIA's software at the Computex event held in Taipei, Taiwan.

Meanwhile, on the 21st (local time), NVIDIA, the leading AI chip stock, closed at $143.71, up 4.14% from the previous trading day, setting a new all-time high on the New York Stock Exchange. Its market capitalization also grew to $3.525 trillion, closely chasing the top market cap company Apple ($3.595 trillion). This is interpreted as reflecting expectations of earnings surprises from NVIDIA's big tech customers ahead of its earnings announcement at the end of this month.