Taiwan-based electronics manufacturer Foxconn today announced plans to construct data centers deploying Nvidia chips and software for a range of AI applications, including autonomous vehicles. At Foxconn’s annual technology showcase in Taipei, Foxconn Chairman Liu Young-way and Nvidia CEO Jensen Huang to jointly unveiled their plans to collaborate on creating “AI factories.”

Nvidia CEO Huang explained that the “AI factories” will continually receive and process data from autonomous electric vehicles, to enhance their decision making capabilities in real-time. He assets that data will play an important role evolution of the upcoming AI factories. “A new type of manufacturing has emerged — the production of intelligence. And the data centers that produce it are AI factories,” said Huang, in a statement. “Foxconn has the expertise and scale to build AI factories globally. We are expanding our decade-long partnership to accelerate the AI industrial revolution. In the future, every company and industry, will have AI factories.”

Leveraging Real-time AI Analytics for AV Intelligence

Jensen Huang said the data autonomous vehicles (AV) collect would be channeled to the AI factory, to provide new software and updates to the entire AI fleet. Nvidia said that the AI factories will utilize the GH200 superchip and other proprietary softwares, with an exception for the Chinese market due to prevailing export restrictions.

This development comes in the wake of Nvidia’s announcement earlier this week, indicating that new U.S. export constraints would limit the sale of two of its less potent high-end AI chips aimed at the Chinese market, alongside one of its top-tier gaming chips. Nvidia’s market performance in 2023, has reportedly tripled to surpass $1 trillion, largely due to the increased adoption of its chips in AI applications.

In January, Foxconn and Nvidia unveiled their partnership to co-develop autonomous vehicle platforms. Foxconn would handle the manufacturing of electronic control units (ECUs) utilizing Nvidia’s DRIVE Orin chip for global market distribution.

Foxconn Chairman Liu announced Foxconn’s transformation from a manufacturing service provider to a platform solution company, and said that the company would now be focusing on future prospects such as smart cities and smart manufacturing, due to the domains being promising applications for AI factories.

“Most importantly, Nvidia and Foxconn are building these factories together. We will be helping the whole industry move much faster into the new AI era,” said Foxconn Chairman and CEO Young Liu.

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