Nvidia has announced plans to manufacture some of its AI processors and supercomputers in the U.S. for the first time. As a part of this strategic move, the company has officially opened more than one million square feet of manufacturing facilities in Arizona and Texas, working alongside key partners like TSMC, Foxconn, Wistron, Amkor, and SPIL. This effort intends to strengthen Nvidia's supply chain, increase production resilience, and support the surging demand for AI infrastructure.
The production of Nvidia's latest Blackwell AI processors has already started at TSMC's advanced fabrication facilities in Phoenix, Arizona. In Texas, Nvidia is developing two major supercomputer manufacturing hubs: one in Houston with Foxconn and another in Dallas with Wistron. These facilities are projected to reach mass production capacity over the coming 12 to 15 months.
In Arizona, Nvidia also works with Amkor and SPIL on packaging and testing. The company plans to use its own AI, robotics, and digital technologies, including platforms like Omniverse and Issac GR00T, to assist with the design, automation, and operation of these new facilities in the U.S.
In the next four years, Nvidia plans to produce up to $500 billion worth of AI infrastructure domestically. CEO Jensen Huang emphasized that this move is a key milestone: "The engines of the world's AI infrastructure are being built in the United States for the first time." He noted that bringing production stateside won't only enhance supply chain security but also position the U.S. as a key player in the future of AI manufacturing.
The announcement comes after political pressure and global technology companies to localize production. Nvidia reportedly avoided new export controls by committing to increased U.S. investment. While the company claims that the project has the potential to create hundreds of thousands of new jobs and trillions of dollars in economic activity, it faces hurdles like labor shortages and supply chain risks linked to geopolitical tensions, particularly with China.