Taiwanese electronics manufacturing titan Foxconn, formally known as Hon Hai Precision Industry, announced on Tuesday that it is constructing the world's largest production plant for Nvidia's GB200 NVL72 server racks in Mexico to support skyrocketing international artificial intelligence workloads.
The announcement was delivered during Foxconn's flagship annual Tech Day event in Taipei, underscoring the company's aggressive pivot from assembling consumer electronics like Apple's iPhone toward designing and deploying mission-critical enterprise AI hardware infrastructure.
Scaling Blackwell Superchip Assembly in North America
Nvidia's flagship GB200 superchip links two high-performance Blackwell graphics processing units with a centralized Grace central processing unit, creating unprecedented computing density designed to train multimodal foundation models and process trillion-parameter AI reasoning tasks.
Benjamin Ting, senior vice president for Foxconn's cloud enterprise solutions group, noted that hyperscale cloud providers including Microsoft, Amazon Web Services, and Google are competing intensely to secure Blackwell-based server clusters ahead of anticipated 2025 rollouts.
“We are building the largest GB200 manufacturing facility on the planet in Mexico to meet the colossal compute demand powering global frontier artificial intelligence.” — Benjamin Ting, Senior Vice President at Foxconn
Strategic Supply Chain Realignment for Global Tech
Foxconn has already poured more than $500 million into expanding manufacturing infrastructure across Mexico, positioning the Latin American nation as a pivotal nearshoring manufacturing hub that provides tariff advantages and geographic proximity to major American tech hubs.
Foxconn Chairman Young Liu affirmed that commercial shipments of GB200 server racks will commence in late 2024, emphasizing that Foxconn's advanced liquid-cooling engineering capabilities will be pivotal in resolving thermal challenges inherent to ultra-dense AI hardware.
Frequently Asked Questions
What is the Nvidia GB200 NVL72 server rack?
It is an advanced liquid-cooled AI supercomputing system connecting 72 Blackwell GPUs and 36 Grace CPUs to run massive AI models.
Why is Foxconn building this massive facility in Mexico?
Mexico provides strategic nearshoring proximity to the United States and lower supply chain friction for North American cloud providers.
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