by WorldTribune Staff / 247 Real News April 14, 2025
The chipmaker Nvidia, which is at the forefront of the artificial intelligence (AI) boom, on Monday announced it will produce AI supercomputers entirely in the U.S. for the first time.
Nvidia said it plans to produce up to $500 billion of AI infrastructure in the U.S. via its manufacturing partnerships over the next four years.
The White House put out a blog post on Monday calling Nvidia’s announcement the “Trump effect in action.”
Nvidia wrote in a blog post that it has commissioned more than 1 million square feet of manufacturing space. Its Blackwell AI chips have started production in Phoenix at Taiwan Semiconductor plants. In Arizona, Nvidia will also partner with Amkor and Siliconware Precision Industries, which provide chip packaging and testing services.
The company designs its GPUs, but outsources its chip production to contract manufacturers like TSMC.
Nvidia is also building manufacturing plants for its supercomputers in Texas, partnering with Foxconn in Houston and with Wistron in Dallas, the company wrote. It expects to reach mass production at both facilities within 12 to 15 months.
“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,” CEO Jensen Huang said.
Trump had placed a 32% tariff on products from Taiwan, where Nvidia largely manufactures its graphics processing units, or GPUs, and 145% tariffs on products from China, a move that threatened to take a toll on tech giants like Apple, which makes iPhones and most of its other products in China.
On Friday evening, however, Trump exempted chips, as well as smartphones, computers, and other tech devices and components, from the tariffs. On Sunday, he reportedly said he would announce tariffs on imported semiconductors within the week.
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