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Nvidia CEO commits to ‘largest electronics manufacturing region in the world’ Taiwan despite US pressure

In this post:

  • Nvidia CEO Jensen Huang has announced significant investments in Taiwan. 
  • The tech giant is working on a new headquarters in Taipei and an AI supercomputer utilizing 10,000 of its latest Blackwell chips.
  • Huang also revealed a 10-year spending plan of up to $500 billion to boost high-end manufacturing in the US, while acknowledging the ongoing reliance on Taiwan’s supply chain for chip production.

Nvidia has announced major Taiwan chip investments to reaffirm its commitment to Taiwan as a global technology hub. 

The move comes as President Donald Trump’s administration continues to pressure technology companies to increase manufacturing on US soil. Huang seeks to navigate new tariffs and export controls that could hamper Nvidia’s chip sales, which rely heavily on Taiwan’s supply chain.

Nvidia commits to future plans with Taiwan

According to the company’s CEO Jensen Huang, the construction of a new local headquarters in Taipei is in motion. The company is also planning to create an artificial intelligence supercomputer that would utilize thousands of the company’s chips.

While attending Taipei’s Computex tech show, Huang paid tribute to Taiwan, calling it “the largest electronics manufacturing region in the world.” The executive also said that it was the “center of the computer ecosystem.”

He also announced a variety of new products expected to cement the company’s technology at the heart of the growing AI infrastructure industry. One of them is the new AI supercomputer it is partnering with Foxconn subsidiary Big Innovation Company and the Taiwanese government to build.

The AI supercomputer will reportedly use 10,000 of Nvidia’s latest Blackwell chips and will require investment that will likely be worth hundreds of millions of dollars, based on how much an individual chip costs.

Its customers will include Taiwan Semiconductor Manufacturing Company (TSMC), Nvidia’s key manufacturing partner, which will use it to research and put together new chip-building processes.

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“We are growing beyond the limits of our current office [in Taiwan],” Huang said, as he revealed a video that showed the design of its new “Constellation” headquarters that will start construction soon in the capital’s Beitou district.

Huang has plans to spend up to $500B over the next four years to boost more high-end manufacturing in the US through partnerships with the likes of Taiwan’s TSMC and Foxconn.

The CEO also unveiled an “‘NVLink Fusion” initiative that will combine the company’s technology with the custom-designed products of competitors, a move that would not only open up Nvidia’s ecosystem to new chip players but also cement its technology as the go-to solution for the underlying infrastructure on which they run.

With “NVLink Fusion,” competitor chips will be able to plug into Nvidia’s graphics processing units and its NVLink networking technology, which connects the chips together across servers.

Trump wants the world to have access to Nvidia technology, just not China

Jensen Huang is currently in Taiwan after going on a whistle-stop tour of the Gulf with President Trump last week, which saw Saudi Arabia and the United Arab Emirates both commit to multibillion-dollar AI infrastructure projects.

The commitments come after the administration’s revocation of the Biden-era rule that restricted the export of Nvidia’s leading AI chips to dozens of countries.

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Huang arrived in Taiwan on Friday and told reporters that Trump’s involvement in the Gulf deals showed that he is on board with “the world having access to Nvidia technology to build AI infrastructure.”

It is certainly a step forward, but not every country in the world has Trump’s blessing to access Nvidia’s chip technology. Notably, he has cracked down on Nvidia’s China-specific AI chip exports, the H20.

When reporters asked Huang about the potential for Nvidia to build a new chip specific for China that would comply with the latest export controls, Huang said the company was “evaluating how best to address the China market”, but that there could be no further modifications to the H20.

In the meantime, Nvidia has plans to build a new research facility in Shanghai, a sign of its commitment to the country.

Huang also added that there is no evidence that Nvidia’s advanced AI chips have been smuggled into China. Such an act could potentially violate US export controls, a concern that forced US lawmakers to write to the company last month.

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