The CEO of Nvidia, the largest computer chip maker in the world, has committed to investing “tens of billions” of dollars in manufacturing semiconductors and electronics in the United States over the next four years.
Jensen Huang’s remarks indicate a shift in supply chains of California-based AI chip makers away from Asia due to the uncertain tariff threats from Donald Trump.
In an interview with the Financial Times, the co-founder and CEO of Nvidia stated, “Overall, over the next four years, we plan to invest around $50 billion in electronics manufacturing. I believe we can easily surpass hundreds of billions produced here in the US.”
This announcement highlights the impact of Trump’s “America First” policy on business investments, pushing even companies like Nvidia, the most valuable in the world, to reconsider their global presence.
Founded in 1993, the Silicon Valley company has been driving the AI market boom, leading to its staggering valuation of $2.9 trillion. However, other major US tech giants, such as Apple, have become reliant on chip manufacturers in Taiwan, like TSMC and Foxconn.
Huang expressed confidence in Nvidia’s ability to navigate any challenges in Taiwan, a region prone to earthquakes. “We are prepared to manufacture in the US. Our supply chain is fully diversified,” he added.
He also mentioned the potential for the Trump administration to bolster the US AI industry amidst growing competition with China.
Huang criticized the success of Chinese tech giant Huawei, calling it “the most formidable technology company in China.” He argued that efforts to contain Chinese companies have been inadequate, as evidenced by Huawei’s continued dominance.
Having government support for the industry and addressing energy consumption in data centers is a significant boost for American AI, according to Huang.
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The recent $100 million investment in the US by TSMC, a Taiwanese semiconductor company, supports onshore manufacturing efforts. This move ensures that Nvidia’s Blackwell chips are produced in the US, enhancing supply chain resilience.
Source: www.theguardian.com
