Nvidia\u2019s CEO said that the company, which is trying to withdraw its supply chain from Asia in the face of tariff threats from US President Donald Trump, will spend hundreds of billions of dollars for chips and other electronic products manufactured in the US in the next four years.<\/p>\n
The massive spending forecast of the world\u2019s most valuable semiconductor group follows billions of dollars of US investment plans announced by other technology companies, including Apple, as the impact of Trump\u2019s “America First” trade policies ripple through the global economy.<\/p>\n
Nvidia\u2019s CEO and co-founder Jensen Huang told the Financial Times<\/em> (FT), “Overall, we will likely supply a total of half a trillion dollars worth of electronic products over the next four years, and I think we can easily see ourselves producing a few hundred billion of that here in the US.”<\/p>\n Huang said that the leading artificial intelligence chip manufacturer can now produce its latest systems in the US through suppliers such as Taiwan Semiconductor Manufacturing Company (TSMC) and Foxconn, and that it sees an increasing threat of competition from Huawei in China.<\/p>\n At Nvidia\u2019s annual developers conference this week, Huang introduced the new generation of artificial intelligence chip, Vera Rubin, and outlined plans to create clusters of millions of interconnected chips that will require a large power supply in huge data centers.<\/p>\n Huang said he believes the Trump administration can accelerate the development of the US artificial intelligence industry. The CEO said, “Having the support of an administration that cares about the success of this industry and does not allow energy to be an obstacle is an extraordinary result for artificial intelligence in the US.”<\/p>\n This month, TSMC announced that it would invest $100 billion in its chip production facilities in Arizona, in addition to the $65 billion investment decided under the Biden administration.<\/p>\n Huang said that Nvidia\u2019s latest Blackwell systems are now manufactured in the US, adding, “TSMC\u2019s investment in the US allows us to take an important step in our supply chain flexibility.”<\/p>\n In recent years, America\u2019s largest technology companies, including Nvidia and Apple, have become heavily dependent on TSMC\u2019s state-of-the-art chip manufacturing facilities in Taiwan.<\/p>\n Huang said, “The most important thing is to be prepared. At this point, we know that we can manufacture in the US, we have a sufficiently diversified supply chain.”<\/p>\n The Nvidia executive argued that if any disaster threatens production in Taiwan, it would be “uncomfortable but not a problem.”<\/p>\n While Nvidia still generates billions of dollars in revenue from China, it faces renewed competition from Huawei, whose Ascend AI chips have recently made progress.<\/p>\n Huang said, “Huawei is the most challenging technology company in China. They have conquered every market they have entered.” According to Huang, US efforts to restrict the Chinese technology company “ended badly,” given Huawei\u2019s continued success.<\/p>\n Saying that Huawei\u2019s presence in the field of artificial intelligence is increasing every year, Huang said, “We cannot assume that they will not be a factor.”<\/p>\n Intel, the only US company that can theoretically produce pioneering chips similar to Nvidia\u2019s, has faced serious difficulties in the casting business. The leadership gap at Intel was filled last week with the appointment of Lip-Bu Tan as CEO.<\/p>\n Huang denied reports that Nvidia was in talks to form a consortium with companies such as TSMC to invest in Intel, and avoided committing to using US chip manufacturing services as part of this \u2018onshoring\u2019.<\/p>\n “We regularly evaluate casting technologies and continue to do so,” said Nvidia\u2019s CEO, adding that they are also reviewing Intel\u2019s chip packaging services.<\/p>\n Referring to Intel\u2019s ability to be competitive in advanced chip technologies, Huang said, “I am confident that Intel has the ability to do this.”<\/p>\n Huang also added that “Intel\u2019s success and prosperity” is important, and “But it takes some time to convince yourself and each other that a new supply chain needs to be established.”<\/p>\n","protected":false},"excerpt":{"rendered":" Nvidia\u2019s CEO said that the company, which is trying to withdraw its supply chain from Asia in the face of tariff threats from US President Donald Trump, will spend hundreds of billions of dollars for chips and other electronic products manufactured in the US in the next four years. The massive spending forecast of the […]<\/p>\n","protected":false},"author":1,"featured_media":8493,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"ep_exclude_from_search":false,"footnotes":""},"categories":[176],"tags":[3873,8197,7519,6184,319,887,1964,7337,8200,2130,8199,4087,6149,6260,4929,1963,1131,6631,3292,8198],"class_list":["post-8492","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-america","tag-artificial-intelligence-chips","tag-blackwell-systems","tag-chip-production","tag-data-centers","tag-donald-trump","tag-huawei","tag-intel","tag-jensen-huang","tag-lip-bu-tan","tag-nvidia","tag-onshoring","tag-semiconductor-industry","tag-supply-chain","tag-technology-companies","tag-trade-policies","tag-tsmc","tag-us-economy","tag-us-investment","tag-us-manufacturing","tag-vera-rubin"],"yoast_head":"\n