Nvidia to build 2 new AI supercomputer factories in Texas. Here's where
Days after President Donald Trump issued sky-high tariffs on China, a technology company has announced plans to produce supercomputers entirely in the U.S., with two new factories in Texas.
Nvidia, an American corporation that makes chips for artificial intelligence, has secured over "one million square feet of manufacturing space to build and test Nvidia Blackwell chips in Arizona and AI supercomputers in Texas," according to Monday's press release.
Nvidia has partnered with two other global companies for the Texas manufacturing plants. The company says it is working with iPhone supplier Foxconn in Houston and Taiwanese electronics manufacturer Wistron in Dallas.
Mass production at the two Texas factories "is expected to ramp up in the next 12-15 months," Nvidia says.
Trump hits China with 125% tariffs. What are tariffs and who pays for them?
In Phoenix, Nvidia has already begun production at chip plants owned by Taiwan Semiconductor Manufacturing Company (TSMC), the world's largest dedicated semiconductor foundry. In addition to Nvidia, TSMC produces chips for other leading tech companies like Apple. In Arizona, the Taiwan company is developing six semiconductor fabrication plants, Chron reports.
For packaging and testing operations in Arizona, Nvidia is also partnering with leading outsourced semiconductor assembly and test (OSAT) company Amkor and another Taiwan company, Siliconware Precision Industries Co., Ltd (SPIL).
Through these partnerships with leading global companies, Nvidia aims to "produce up to half a trillion dollars of AI infrastructure" in the U.S. within the next four years, the company said Monday. The supercomputers built in Texas will act as data centers solely dedicated to AI.
Nvidia predicts the three new sites will together "create hundreds of thousands of jobs and drive trillions of dollars in economic security in the coming decades." The company's founder and CEO, Jensen Huang, emphasized the benefits of expanding operations in the country.
"The engines of the world's AI infrastructure are being built in the United States for the first time," Huang said. "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."
In expanding U.S. operations, Nvidia will avoid more consequences of the trade war. Shortly after Trump raised China's tariffs to a staggering 125%, China and the European Union retaliated with 84% and 25% tariffs respectively. The EU has since paused countermeasures until July 14.
— Chron contributed to this report.
This article originally appeared on Austin American-Statesman: Nvidia opens AI supercomputer, chip operations in Texas, Arizona
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Bloomberg
33 minutes ago
- Bloomberg
Ether Leads Crypto Selloff as US Attacks Nuclear Sites in Iran
Ether fell sharply while Bitcoin held steady after President Donald Trump said American bombers and missiles had struck Iran's three main nuclear sites. The second-ranked token fell as much as 7.7% on Sunday morning in Asia to about $2,200, its lowest intra-day level since May 9. Bitcoin briefly dipped below $101,000 but pared losses to trade relatively evenly in the aftermath of the attacks.
Yahoo
34 minutes ago
- Yahoo
Analysts reboot Micron Technology stock price target ahead of earnings
Analysts reboot Micron Technology stock price target ahead of earnings originally appeared on TheStreet. An elephant might never forget but Micron Technology () has more storage space. The Boise, Idaho, company makes memory and storage chips for data centers, computers and smartphones, and its client list includes such tech-sector superstars as AI-chip chieftain Nvidia () , Mac and iPhone maker Apple () , Facebook parent Meta Platforms () and software kingpin Microsoft () . 💵💰Don't miss the move: Subscribe to TheStreet's free daily newsletter 💰 Make no mistake, there's money in memories, and we're not just talking about those singing cats on Broadway. "After the historic downturn of 2022–2023, the memory industry has entered a phase of strong recovery. In 2024, memory revenue reached a record $170 billion,' according to market researcher Yole Group. "This rebound was fueled by AI-training requirements in data centers, with [high-bandwidth memory) playing a pivotal role due to its premium pricing and performance advantages," the firm added. HBM continues to outperform the broader DRAM chip segment, Yole Group said. This year HBM revenue is set to nearly double to around $34 billion. Micron is a key player in the HBM market, offering solutions like HBM3E and HBM4 designed for high-performance computing and AI applications. The company recently joined the Trump administration to unveil plans to expand its U.S. investments to about $150 billion in domestic memory manufacturing and $50 billion in research and development, creating an estimated 90,000 direct and indirect jobs. More Tech Stocks: Amazon tries to make AI great again (or maybe for the first time) Veteran portfolio manager raises eyebrows with latest Meta Platforms move Google plans major AI shift after Meta's surprising $14 billion move 'Micron's U.S. memory manufacturing and R&D plans underscore our commitment to driving innovation and strengthening the domestic semiconductor industry,' Chairman, President and CEO Sanjay Mehrotra said in a statement. The company's shares are up nearly up nearly 45% this year and off 16% from this time in 2024. Investment firms have been issuing research reports for Micron Technology ahead of its fiscal-third-quarter earnings report, scheduled for June 25. Wedbush boosted its price target on Micron to $150 from $130 while maintaining an outperform rating. The firm said memory-pricing trends turned more positive in the second quarter. And while Wedbush said it doesn't see as significant an inflection in Q3 as it had been expecting back in March, the firm said pricing for both DRAM and NAND, which are two types of semiconductor memory, "still will lift over the next couple of quarters." Better fundamentals are driven by stronger enterprise/server demand, which started around April and looks to hold through the rest of the year, Wedbush said. Demand for both AI and standard workloads appears better than might have been initially anticipated, it said. "Moreover, we view growing [high-bandwidth memory] requirements as not just positive for MU's numbers but also ultimately positive for industry dynamics as [capital spending] and clean-room space are reallocated to support HBM growth," Wedbush will limit the likelihood of too much supply of NAND/DRAM, and it increases the probability that production of more standard parts will trail demand. That, the firm said, would create a more positive pricing/margin cycle vs. what is embedded in its expectations, the firm said. Morgan Stanley maintained an equal-weight rating and $98 price target on Micron, given how much the stock has rallied already, according to The Fly. But the investment firm is "tactically bullish," given that AI spending is materially accelerating as Micron grows its participation. The investment firm, which notes that its estimates remain 20% above consensus for August-quarter earnings, also highlights Sandisk, () which it likes better long term and on which it has an overweight rating. Based in Milpitas, Calif., Sandisk designs and produces flash-memory products, including memory cards, USB flash drives and solid-state drives. Consensus numbers have started to come up for Micron over the past few weeks, but in addition to Morgan Stanley being about 20% above consensus for August earnings per share, the firm is also 14% above for November after it raised estimates six weeks reboot Micron Technology stock price target ahead of earnings first appeared on TheStreet on Jun 20, 2025 This story was originally reported by TheStreet on Jun 20, 2025, where it first appeared. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
USA Today
an hour ago
- USA Today
Investors react to US attack on Iran nuclear sites
President Donald Trump on Saturday said that a "very successful attack" on three nuclear sites in Iran had been carried out. In a posting on Truth Social, Trump added, "All planes are safely on their way home" and he ended his posting saying, "Now is the time for peace." Following are comments from some financial and corporate analysts: Mark Spindel, CIO, Potomac River Capital, Washington, DC: "I think the markets are going to be initially alarmed and I think oil will open higher. We don't have any damage assessment and that will take some time. Even though he has described this as 'done', we're engaged. What comes next? I think the uncertainty is going to blanket the markets, as now Americans everywhere are going to be exposed. It's going to raise uncertainty and volatility, particularly in oil. "There's plenty of time to deliberate before markets open on Sunday. I'm making arrangements to talk to a few people tomorrow. We'll get an early indication when the dollar opens for trading in New Zealand. This was such a bold action, though, and it's such a big contrast to the comments about negotiating for the next two weeks." Jamie Cox, Managing Partner, Harris Financial Group, Richmond, Virginia: 'Oil is sure to spike on this initial news but will likely level in a few days. With this demonstration of force and total annihilation of its nuclear capabilities, they've lost all of their leverage and will likely hit the escape button to a peace deal." Mark Malek, Chief Investment Officer, Siebert Investment Officer, Siebert Financial, NYC: "I think it's going to be very positive for the stock market. I believe that on Friday if you'd asked me, I would have expected two weeks of volatility with markets trying to analyze every drib and drab of information coming out of the White House and I would have said that it would have been better to make a decision last week. "So this will be reassuring, especially since it seems like a one and done situation and not as if (the US) is seeking a long, drawn out conflict. The biggest risk still out there is the Strait of Hormuz. It could certainly change everything if Iran has the capability to close it." Jack Ablin, Chief Investment Officer of Cresset Capital, Chicago: "This adds a complicated new layer of risk that we'll have to consider and pay attention to... This is definitely going to have an impact on energy prices and potentially on inflation as well." (Reporting by Saeed Azhar, Suzanne McGee. Compiled by Peter Henderson and Vidya Ranganathan)
