FILE - The OpenAI logo is seen displayed on a cell phone in front of an image on a computer screen generated by ChatGPT's Dall-E text-to-image model, Friday, Dec. 8, 2023, in Boston. (AP Photo/Michael Dwyer, file)
Foxconn Chairman Young Liu delivers a speech during the Hon Hai Tech Day (HHTD 25) at the Nangang Exhibition Center in Taipei, Taiwan, Friday, Nov. 21, 2025. (AP Photo/Chiang Ying-ying)
General Manager of IBM Asia Pacific Hans Dekkers delivers a speech during the Hon Hai Tech Day (HHTD 25) at the Nangang Exhibition Center in Taipei, Taiwan, Friday, Nov. 21, 2025. (AP Photo/Chiang Ying-ying)
Visitors listen to the introduction of NVIDIA GB300 NVL72 AI server during the Hon Hai Tech Day (HHTD 25) at the Nangang Exhibition Center in Taipei, Taiwan, Friday, Nov. 21, 2025. (AP Photo/Chiang Ying-ying)
FILE - The OpenAI logo is seen displayed on a cell phone in front of an image on a computer screen generated by ChatGPT's Dall-E text-to-image model, Friday, Dec. 8, 2023, in Boston. (AP Photo/Michael Dwyer, file)
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Foxconn Chairman Young Liu delivers a speech during the Hon Hai Tech Day (HHTD 25) at the Nangang Exhibition Center in Taipei, Taiwan, Friday, Nov. 21, 2025. (AP Photo/Chiang Ying-ying)
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General Manager of IBM Asia Pacific Hans Dekkers delivers a speech during the Hon Hai Tech Day (HHTD 25) at the Nangang Exhibition Center in Taipei, Taiwan, Friday, Nov. 21, 2025. (AP Photo/Chiang Ying-ying)
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Visitors listen to the introduction of NVIDIA GB300 NVL72 AI server during the Hon Hai Tech Day (HHTD 25) at the Nangang Exhibition Center in Taipei, Taiwan, Friday, Nov. 21, 2025. (AP Photo/Chiang Ying-ying)
TAIPEI, Taiwan (AP) 鈥 OpenAI and Taiwan electronics giant Foxconn have agreed to a partnership to design and manufacture key equipment for artificial intelligence data centers in the U.S. as part of ambitious plans to fortify American AI infrastructure.
Foxconn, which makes AI servers for Nvidia and assembles Apple products including the iPhone, will be co-designing and developing AI data center racks with OpenAI under the agreement, the companies said in separate statements on Thursday and Friday.
The products Foxconn will manufacture in its U.S. facilities include cabling, networking and power systems for AI data centers, the companies said. OpenAI will have 鈥渆arly access鈥 to evaluate and potentially to purchase them.
Foxconn has factories in the U.S., including in Wisconsin, Ohio and Texas. The initial agreement does not include financial obligations or purchase commitments, the statements said.
The Taiwan contract manufacturer, formally known as Hon Hai Precision Industry Co., has been moving to diversify its business, developing electric vehicles and acquiring other electronics companies to build out its product offerings.
A sleek Model A EV made by the group's automaking affiliate Foxtron was on display at Friday's event.
鈥淭his year, Model A. 'A',' for affordable," said Jun Seki, chief strategy officer for Foxconn鈥檚 EV business.
The tie-up with OpenAI can also help Taiwan, a self-governed island claimed by China, to build up its own computing resources, said Alexis Bjorlin, a Nvidia vice president.
鈥淭his allows Taiwan鈥檚 domain knowledge and key technology data to remain local and ensure data security,鈥 she said.
鈥淭his partnership is a step toward ensuring the core technologies of the AI era are built here,鈥 Sam Altman, CEO of San Francisco-based OpenAI, said in the statement. 鈥淲e believe this work will strengthen U.S. leadership and help ensure the benefits of AI are widely shared.鈥
OpenAI has committed $1.4 trillion to building AI infrastructure. It recently entered into with Nvidia and AMD to expand the extensive computing power needed to support its AI models and services. It is also in designing and making its own AI chips.
But its massive spending plans have worried investors, raising questions over its ability to recoup its investments and remain profitable. Altman said this month that OpenAI, a startup founded in 2015 and maker of ChatGPT, is expected to reach more than $20 billion in annualized revenue this year, growing to "hundreds of billions by 2030.鈥
Foxconn's Taiwan-listed share price has risen 25% so far this year, along with the surge in prices for many tech companies benefiting from the craze for AI.
The Taiwan company鈥檚 net profit in the July-September quarter rose 17% from a year earlier to just over 57.6 billion new Taiwan dollars ($1.8 billion), with revenue from its cloud and networking business, including AI servers, contributing the most business.
鈥淲e believe the importance of the AI 鈥嬧媔ndustry is increasing significantly,鈥 Liu said during Foxconn鈥檚 earnings call this month.
鈥淚 am very optimistic about the development of AI 鈥媙ext year, and expect our cooperation with major clients and partners to become even closer,鈥 said Liu.
