Nvidia to build AI Supercomputers in the US: $500bn investment announced
Nvidia has commissioned over a million square feet of space to make AI chips and AI supercomputers.
First-Ever Domestic AI Supercomputer Manufacturing
In a landmark move, Nvidia, the world’s largest AI chipmaker, announced plans to design and manufacture AI supercomputers entirely within the United States for the first time. The company has commissioned over one million square feet of new manufacturing space, including facilities in Arizona and Texas.
The initiative is expected to contribute up to $500 billion worth of AI infrastructure in the US over the next four years.
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“The engines of the world’s AI infrastructure are being built in the United States for the first time,” said Nvidia CEO Jensen Huang. “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.”
Where and How the Chips Will Be Made
Nvidia will work with Amkow and Siliconware Precision Industries in Arizona to package and test its AI chips. Chip production has already begun at TSMC’s Phoenix facility.
Meanwhile, two massive factories will be constructed in Dallas and Houston, in partnership with Foxconn and Wistron, to assemble the AI supercomputers. These Texas-based facilities are expected to begin mass production in 12 to 15 months.
Tariff Pressure and the Push for Domestic Manufacturing
The announcement follows President Donald Trump’s imposition of new tariffs, including a 32% tariff on Taiwan and 145% on China, where Nvidia has traditionally outsourced most of its chip manufacturing.
Although AI chips, smartphones, and computers were temporarily excluded from these tariffs, Trump has signaled further import duty hikes could be coming soon.
“We want to make our chips and semiconductors and other things in our country,” Trump said aboard Air Force One over the weekend.
Political Spotlight: ‘The Trump Effect’
The White House hailed Nvidia’s decision as a direct outcome of Trump’s economic strategy.
“President Donald J. Trump has made U.S.-based chips manufacturing a priority as part of his relentless pursuit of an American manufacturing renaissance, and it’s paying off,” the administration said in a press release.
With this new U.S.-based production initiative, Nvidia aims to secure its place at the heart of the next-generation AI boom, while also hedging against future geopolitical and trade uncertainties.