Nvidia taps 3 Taiwanese firms to build AI hardware in US

Nvidia is rapidly expanding its domestic chip manufacturing capacity with plans to produce high-end AI infrastructure worth hundreds of billions of dollars across multiple U.S. locations. The strategic shift toward American manufacturing represents a significant departure from traditional semiconductor supply chains and aligns with growing trends toward technological sovereignty and supply chain security in the AI hardware sector.

The big picture: Nvidia is commissioning over a million square feet of manufacturing space in Arizona and Texas to produce AI chips and supercomputers on American soil.

• TSMC has already begun manufacturing Nvidia’s next-generation Blackwell chips at its Phoenix, Arizona facility.
• Taiwanese manufacturers Foxconn and Wistron will build Nvidia’s supercomputers in Houston and Dallas—marking the first time these systems will be assembled in the U.S.

Key details: Mass production of Nvidia’s U.S.-made supercomputers is expected to begin within 12-15 months.

• The company is partnering with Amkor and SPIL for critical packaging and testing operations.
• These manufacturing facilities will incorporate Nvidia’s own AI, robotics, and digital twin technologies.

What they’re saying: “The engines of the world’s AI infrastructure are being built in the US for the first time,” stated Jensen Huang, Nvidia’s founder and CEO.

• Huang emphasized that “adding American manufacturing helps us better meet the incredible and growing demand for AI chips and supercomputers, strengthens our supply chain and boosts our resiliency.”

The economic impact: Nvidia claims its U.S. manufacturing initiative will produce “up to half a trillion dollars of AI infrastructure” within four years.

• The company projects these operations will create hundreds of thousands of jobs.
• Nvidia forecasts its domestic production will drive “trillions of dollars in economic security.”

Why this matters: The move represents a strategic response to ongoing geopolitical tensions and aligns with the broader Industry 4.0 trend of reshoring production with advanced technology integration.