Nvidia has unveiled plans to manufacture AI supercomputers entirely within the US, marking the first domestic production of these systems through strategic partnerships with TSMC, Foxconn, Wistron, Amkor and SPIL.
The move comes amid increasing pressure from tariffs on imports introduced by US President Donald Trump, which have affected technology companies reliant on international supply chains across Asia.
While semiconductors remain exempt from these tariffs as of April 2025, Nvidia is now for the first time positioning itself in the US to mitigate potential future disruptions by commissioning more than one million square feet of manufacturing space.
The engines of the world’s AI infrastructure are being built in the US for the first time.
Through its contract manufacturing partnerships, the semiconductor leader will dedicate this new space to building and testing Nvidia Blackwell chips in Arizona and complete AI supercomputing systems in Texas.
Committed to accelerating Nvidia Blackwell production
Production of Nvidia Blackwell chips, the company’s next-generation AI accelerator architecture, has commenced at Taiwan Semiconductor Manufacturing Company (TSMC) chip fabrication plants in Phoenix, Arizona.
Additionally, the company is establishing supercomputer manufacturing facilities in Texas through partnerships with Foxconn in Houston and Wistron in Dallas. Mass production at both Texas plants is expected to reach full capacity within the next 12-15 months, Nvidia says.
The manufacturing process for AI chips and supercomputers requires advanced fabrication, packaging, assembly and testing technologies within a complex supply chain. In order to address these requirements, Nvidia has formed additional partnerships with semiconductor packaging and testing specialists Amkor and SPIL for operations in Arizona.
Within four years, Nvidia projects production of up to half a trillion dollars worth of AI infrastructure within the US through these manufacturing partnerships.
These arrangements represent an extension of existing relationships between Nvidia and its suppliers, whilst expanding their operational footprints and strengthening supply chain resilience.
Supercomputing: A new foundation for data centres
Nvidia’s AI supercomputers serve as the computational foundation for a new category of data centres designed specifically for AI workloads.
These facilities, which Nvidia refers to as AI Factories, host the infrastructure that powers emerging AI applications and services across various sectors.
Industry projections indicate that tens of ‘gigawatt AI factories’ – data centres consuming electricity at the scale of gigawatts – will be constructed in the coming years to meet the growing demand for AI computing capabilities.
The company forecasts that manufacturing Nvidia AI chips and supercomputers for US AI installations will generate hundreds of thousands of jobs and contribute trillions of dollars to economic development over the coming decades.
“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,” says Jensen.
Nvidia also plans to implement its own technological innovations in the design and operation of these manufacturing facilities, including the use of Nvidia Omniverse – a platform for connecting 3D workflows and creating virtual environments – to develop digital twins of the factories.
The company will also deploy Nvidia Isaac GR00T, its robotics platform, to develop automated manufacturing systems that enhance efficiency and output.
Such innovations suggest that Nvidia is intending to further implement its own technological innovations in the design and operation of these manufacturing facilities.
This comes at a time where data centre operators are facing increasing pressures to secure reliable supplies of advanced computing hardware amid growing demand for AI services.
Nvidia’s move may provide data centre companies with greater assurance regarding supply chain stability for critical AI infrastructure components.
Jensen says: “The engines of the world’s AI infrastructure are being built in the US for the first time.”
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https://datacentremagazine.com/technology-and-ai/nvidia-moves-ai-supercomputer-creation-to-the-us-explained
