AI tie-up: NVIDIA and iPhone maker Foxconn to build ‘AI plants’
Chip giant NVIDIA and Taiwan's Foxconn, the world's largest contract electronics maker, are teaming up to create AI factories. IGTV's @AngelineOng explains why this partnership is key to NVIDIA and Foxconn’s future.
(VIdeo Transcript)
NVIDIA-Foxconn alliance is big news for AI
Big news in the artificial intelligence (AI) and chip space: NVIDIA and Foxconn are teaming up to build AI factories. Just showing you NVIDIA share price there, because we are watching this as we creep closer to the main session.
However, NVIDIA, as I have reminded our viewers many times, is all-sessions on the IG platform, so you can take a petition now. But we are watching this because this is big news, especially in the AI space, because NVIDIA is synonymous with AI.
You need those chips in order to run all those systems and services, especially when it comes to EVs and autonomous cars. Tesla, of course, uses NVIDIA chips, gaming as well as military related software, or run on some form of chip that is related to the kind of technology that NVIDIA is using.
Foxconn takes a new direction
As for Foxconn, this is also a really interesting space, because Foxconn is trying to come away from becoming a manufacturing supplier. Foxconn is known for putting together many of the world's iPhones that you see out there. It's trying to come away from becoming a manufacturing supplier, being stuck in that rut, to becoming an AI services provider.
This is key because by teaming up with NVIDIA, it does that too. This story may not come as good news to China as well.
As you know, many people who cover this space will look at this and think, it's not going to sit down well with China, because by teaming up with Foxconn and having these AI plants elsewhere, it helps NVIDIA sell and use its chips outside of China, as the US has now banned some chips from being sold in the mainland.
This information has been prepared by IG, a trading name of IG Markets Limited. In addition to the disclaimer below, the material on this page does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. IG accepts no responsibility for any use that may be made of these comments and for any consequences that result. No representation or warranty is given as to the accuracy or completeness of this information. Consequently any person acting on it does so entirely at their own risk. Any research provided does not have regard to the specific investment objectives, financial situation and needs of any specific person who may receive it. It has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication. Although we are not specifically constrained from dealing ahead of our recommendations we do not seek to take advantage of them before they are provided to our clients. See full non-independent research disclaimer and quarterly summary.
Act on share opportunities today
Go long or short on thousands of international stocks with spread bets and CFDs.
- Get full exposure for a comparatively small deposit
- Trade on spreads from just 0.1%
- Get greater order book visibility with direct market access
See opportunity on a stock?
Try a risk-free trade in your demo account, and see whether you’re on to something.
- Log in to your demo
- Take your position
- See whether your hunch pays off
See opportunity on a stock?
Don’t miss your chance – upgrade to a live account to take advantage.
- Trade a huge range of popular stocks
- Analyse and deal seamlessly on fast, intuitive charts
- See and react to breaking news in-platform
See opportunity on a stock?
Don’t miss your chance. Log in to take advantage while conditions prevail.
Live prices on most popular markets
- Equities
- Indices
- Forex
- Commodities
Prices above are subject to our website terms and agreements. Prices are indicative only. All share prices are delayed by at least 15 minutes.
Prices above are subject to our website terms and agreements. Prices are indicative only. All shares prices are delayed by at least 15 mins.
