By Kathrin Hille
Publication Date: 2025-11-12 06:51:00
Unlock the Editor’s Digest for free
Roula Khalaf, Editor of the FT, selects her favourite stories in this weekly newsletter.
Nvidia supplier Foxconn said revenue from artificial intelligence server production would almost double from this quarter to the next due to intense demand, in a signal of a sustained data centre boom.
AI server revenues were expected to grow by a “high double-digit” percentage in the fourth quarter compared with the previous three months, Foxconn’s chair Young Liu told investors on Wednesday.
Liu added that doubling AI server shipments industry-wide next year was a “conservative estimate” as applications for the technology expand and result in “explosive growth”.
Foxconn, the world’s largest contract electronics manufacturer, reported a 17 per cent increase in net profit to NT$57.7bn (US$1.9bn) for the three months to September 30 compared with the same period last year on NT$2.1tn in revenue.
The Taiwanese company makes everything from iPhones to electric vehicles. Smartphone assembly had long been its largest revenue source, but cloud and networking products now contribute a larger share with 42 per cent of revenue in the third quarter.
Liu said the company, which counts Nvidia as its largest AI server customer, would announce a co-operation deal with OpenAI at its annual technology conference later this month.
“Sam has mentioned the vision of 1 gigawatt computing power, that amounts to a US$50bn market opportunity,” said Liu,…
