NVIDIA (NVDA, Financial) has announced ambitious plans to develop artificial intelligence infrastructure worth up to $500 billion in the U.S. over the next four years, with the help of partners like Taiwan Semiconductor Manufacturing Company (TSMC). This initiative includes producing its Blackwell AI chips at TSMC's facility in Phoenix, Arizona, and establishing supercomputer manufacturing plants in Texas with Foxconn and Wistron. These facilities are expected to become operational within 12 to 15 months.
This move aligns with the broader trend of tech companies shifting production back to the U.S. in response to high tariffs imposed by the U.S. government. For instance, Apple has committed to investing $5 trillion in the U.S., including setting up an AI server facility in Texas.
NVIDIA's CEO, Jensen Huang, emphasized that increasing U.S. manufacturing will help meet the soaring demand for AI chips and supercomputers, strengthen supply chains, and enhance resilience. The company anticipates that manufacturing AI chips and supercomputers in the U.S. will create hundreds of thousands of jobs over the coming decades.
TSMC has already started producing NVIDIA's latest generation chips at its Arizona facility, following discussions that began last December regarding Blackwell chip production.
