AP Photo/Jeff Chiu, File
FILE – A sign for an Nvidia building is shown in Santa Clara, Calif., May 31, 2023.
Semiconductor manufacturer Nvidia announced Monday that Houston would be home to one of its two planned supercomputer manufacturing plants in Texas.
The California-based technology giant has partnered with Taiwanese electronics companies to construct two manufacturing facilities in Texas — one with Foxconn in Houston and another with Wistron in Dallas — according to the announcement. Nvidia expects both locations will ramp up to mass production within the next 12-15 months.
“The engines of the world’s AI infrastructure are being built in the United States for the first time,” Jensen Huang, founder and CEO of Nvidia, said in a news release. “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.”
The announcement comes a few days after the administration of President Donald Trump announced temporary tariff exemptions on electronics such as laptop computers and smartphones. Nvidia did not mention tariffs, which Trump is using in an attempt to boost U.S. manufacturing, as being a factor behind its initiatives in Texas.
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The plants will manufacture chips and supercomputers, with Nvidia saying it plans to produce up to half a trillion dollars of artificial intelligence infrastructure in the U.S. The company also said the factories are expected to create “hundreds of thousands of jobs and drive trillions of dollars in economic security.”
Nvidia did not release specific details regarding the location of the planned Houston facility and how many people it is expected to employ locally.
The company also announced a new chip testing facility in Phoenix, Arizona.
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Nvidia, founded as a computer graphics chip designer in 1993, became one of the most valuable U.S. companies in 2024 after its graphics chips proved effective in AI acceleration.
According to Yahoo Finance, shares of Nvidia stock are up nearly 1,500% over the past five years, going from less than $10 per share in 2020 to nearly $150 per share in late 2024. So far this year, however, the company had lost approximately 17% of its value as of Monday as markets around the world continue to grapple with the possibility of long-term tariffs.
