Foxconn To Manufacture AI servers in India

iPhone producer Foxconn plans to manufacture artificial intelligence servers in India, as per sources. This proposal would represent a huge expansion for the Taiwanese company, which is best known for building iPhones in the country. 

AI servers are powerful computers that train and run artificial intelligence models. This growth occurs as Foxconn seeks to expand its company beyond smartphones. Young Liu, the company's chairman, has stated that AI servers might soon become Foxconn's "next-trillion revenue product."

The move is consistent with India's efforts to become a global manufacturing hub. It also fits perfectly with Foxconn's objective of reducing its dependency on Chinese production. According to industry analysts interviewed by the ET, Foxconn's next natural move is to manufacture AI servers in India. The company anticipates its global AI server market share to increase from 30% to 40% this year.

Foxconn currently manufactures AI servers for big IT companies such as Amazon, Google, Microsoft, and Nvidia. By manufacturing these products in India, the corporation might benefit from government subsidies targeted at increasing local production.

In recent months, Foxconn has increased its investment in India. The company is apparently in negotiations with Google about manufacturing Pixel devices in Tamil Nadu as well. The company has also investigated the possibility of drone manufacturing for Google's Wing.