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In a groundbreaking announcement at the annual Computex tech trade show, Foxconn revealed plans to construct a massive AI data centre in Taiwan in collaboration with Nvidia. The project, which will be executed in phases, marks a significant milestone in Taiwan’s growing role as a global AI hub. With an ambitious target of reaching 100 megawatts (MW) of power capacity, this data centre is set to become a crucial asset in supporting high-performance AI computing across the country.
Taiwan’s AI Future Just Got Bigger
Foxconn, the world’s top contract electronics manufacturer, is stepping up its game by launching an advanced AI data centre in partnership with Nvidia and Taiwan’s chipmaking giant TSMC. This cutting-edge infrastructure is part of a broader initiative supported by the Taiwanese government, aimed at turning the island into a major AI technology hub.
The AI centre will be built in multiple phases to accommodate Taiwan’s limited but evolving energy infrastructure. According to Foxconn Chairman Young Liu, the initial stage will begin with 20 MW of power, followed by an additional 40 MW. Eventually, the centre will scale up to its full capacity of 100 MW. The primary site will be in Kaohsiung, in the southwest region of Taiwan, with the possibility of expanding to other cities depending on available power resources.
Nvidia CEO Jensen Huang emphasized that the AI centre will not only benefit Foxconn but the entire Taiwanese ecosystem. With over 350 local partners, Nvidia envisions the facility functioning as a shared “AI factory,” powering everything from smart manufacturing to advanced research and development.
This strategic move reflects the growing global demand for AI infrastructure, particularly high-powered data centres capable of handling complex machine learning models and real-time processing. It also reinforces Taiwan’s emerging status as a critical player in the global AI race, combining talent, innovation, and hardware manufacturing capabilities.
What Undercode Say:
Foxconn’s bold move to build a 100MW AI data centre in collaboration with Nvidia is more than just a business decision — it’s a signal that Taiwan is evolving into a key player in the global AI economy. The planned project demonstrates how energy and technology now intersect at the highest levels. While 100 MW might not seem extraordinary in traditional energy terms, in the world of data centres — especially those optimized for AI workloads — this represents immense computing capacity.
From an infrastructure standpoint, the phased approach is smart. Taiwan, known for periodic energy concerns, particularly in peak seasons, isn’t ideally suited for massive one-time energy deployments. By starting with 20 MW and scaling gradually, Foxconn avoids overloading the grid while ensuring steady progress.
It’s also noteworthy that this collaboration ties three major forces together: Foxconn’s manufacturing prowess, Nvidia’s GPU-driven AI capabilities, and TSMC’s dominance in semiconductor fabrication. Together, they form a vertically integrated AI powerhouse that spans hardware design, chipmaking, and application-layer innovation.
The location choice — Kaohsiung — may also signal a long-term plan to decentralize Taiwan’s tech economy, traditionally concentrated in the north. By distributing facilities across different cities, Foxconn can better manage energy distribution and stimulate regional growth.
This project is not just about computation; it’s about national competitiveness. In the age of generative AI, nations and corporations that can host large-scale data processing facilities will lead in innovation. Taiwan is betting that by combining its manufacturing infrastructure with AI, it can future-proof its economy against geopolitical and supply chain uncertainties.
Moreover, this initiative could act as a magnet for other international AI players. Taiwan’s extensive semiconductor ecosystem makes it an attractive partner for global tech companies looking for scalable, high-performance AI solutions. Nvidia’s involvement is crucial here — not just as a provider of GPUs but as a strategic collaborator shaping the roadmap of AI development on the island.
Lastly, from a sustainability perspective, a 100MW facility raises questions about energy sourcing. As demand for green AI grows, Foxconn and the Taiwanese government may face pressure to integrate renewable energy solutions. The long-term success of this project could hinge on how well it balances power demands with environmental responsibility.
Fact Checker Results:
✅ Foxconn confirmed the data centre will be built in phases
✅ Nvidia stated the centre is for Taiwan’s entire AI ecosystem
✅ Project aims to reach 100 MW capacity, starting with 20 MW
Prediction:
Given the strategic alignment between Foxconn, Nvidia, and TSMC, Taiwan is poised to become a central hub for AI innovation in Asia. Within the next 3–5 years, expect similar large-scale AI infrastructure projects to emerge across the island, supported by public-private partnerships and driven by global demand for AI compute power. If energy supply aligns with ambitions, Taiwan could rival even the US and China in AI infrastructure density.
References:
Reported By: www.deccanchronicle.com
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