At the 2025 Computex trade show in Taipei, Foxconn, the world's largest contract electronics manufacturer, announced a major collaboration with Nvidia to build an advanced artificial intelligence data center in Taiwan. This ambitious project represents a significant investment in Taiwan’s infrastructure and innovation, marking a milestone in the country’s growing AI and technology ecosystem. The AI data center will be developed in multiple phases due to Taiwan’s current power availability constraints. When completed, it is expected to have a total power capacity of 100 megawatts to support diverse AI computing tasks and services. Initially, the facility will operate with 20 megawatts, followed by an expansion adding 40 megawatts, with further capacity increases contingent on improvements in regional energy infrastructure. Strategically, the center will be located across several Taiwanese cities, including Kaohsiung, to enhance AI resource accessibility for local industries and the broader tech community. This decentralized model aims to foster innovation, research, and development island-wide, strengthening Taiwan’s AI ecosystem. Nvidia’s CEO Jensen Huang emphasized that the data center will serve not only Foxconn and Nvidia but also the wider Taiwanese technology sector. By leveraging Nvidia’s network of over 350 local partners, the infrastructure will benefit various companies and developers, boosting Taiwan's competitiveness in AI and high-performance computing globally. A key aspect of the project is the involvement of Taiwan Semiconductor Manufacturing Company (TSMC), the world’s leading contract chipmaker.

TSMC's participation integrates AI hardware production, semiconductor innovation, and data center operations into a unified development strategy, expected to stimulate Taiwan’s semiconductor and AI sectors with advanced hardware and computational capabilities. The Taiwanese government has pledged support for the project, recognizing its potential to drive economic growth, technological progress, and global competitiveness. This backing likely includes facilitating regulatory approvals, infrastructure upgrades, and possibly expanding energy capacity to meet the facility’s high power demands. Overall, the collaboration among Foxconn, Nvidia, TSMC, and the government reflects a joint effort to establish a world-class AI data center ecosystem in Taiwan. The phased capacity approach acknowledges current energy constraints while paving the way for scalable future growth, aiming to foster innovation, attract investment, and position Taiwan as a key AI research and development hub in Asia and beyond. This initiative comes amid rising global demand for AI solutions and emphasizes the crucial role of data centers in supporting AI workloads. By investing in this infrastructure, Taiwan prepares to tackle forthcoming technological challenges and reinforce its standing in the AI industry. It also highlights expanding cooperation between global tech leaders and local partners to nurture regional innovation ecosystems. In summary, the Computex 2025 announcement signifies a transformative step for Taiwan’s technology landscape. The AI data center project, led by Foxconn and Nvidia with significant contributions from TSMC and government support, is poised to become central to Taiwan’s AI capabilities, providing extensive resources to the local tech community and solidifying Taiwan’s status as a global technology powerhouse.