In apparent response to President Donald Trump’s objective of reshoring high-tech manufacturing, Nvidia (NVDA) announced Monday that it plans to make artificial intelligence supercomputers in the U.S. Nvidia stock was little changed on Monday.
The AI chipmaker said it is working with manufacturing partners to design and build factories that, for the first time, will produce Nvidia AI supercomputers entirely in the U.S.
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With its partners, Nvidia has commissioned more than 1 million square feet of manufacturing space to build and test Nvidia Blackwell chips in Arizona and AI supercomputers in Texas.
Contract chipmaker Taiwan Semiconductor Manufacturing (TSM) has started production of Nvidia Blackwell chips at its plants in Phoenix.
Contract assemblers Foxconn and Wistron are building supercomputer manufacturing plants in Houston and Dallas, respectively. Mass production at both plants is expected to ramp up in the next 12 to 15 months, Nvidia said.
Nvidia also is working with partners Amkor (AMKR) and SPIL on semiconductor packaging and testing operations in Arizona.
Within the next four years, Nvidia plans to produce up to half a trillion dollars of AI infrastructure in the U.S. through its partnerships with TSMC, Foxconn, Wistron, Amkor and SPIL, Nvidia said in a blog post.
“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,” Nvidia Chief Executive Jensen Huang said in a statement.
In afternoon trades on the stock market today, Nvidia stock dipped a fraction to 110.45.
Nvidia stock ranks second out of 39 stocks in IBD’s fabless semiconductor industry group, according to IBD Stock Checkup. It has an IBD Composite Rating of 80 out of 99.
Intel Sells Majority Stake In Altera
Elsewhere in the semiconductor sector on Monday, Intel (INTC) announced a deal to sell a majority stake in its Altera unit to private equity firm Silver Lake. Altera makes field-programmable gate arrays, or FPGAs.
Under the terms of the deal, which values Altera at $8.75 billion, Silver Lake will own 51% of the business. Intel will hold the remaining 49% stake. The transaction is expected to close in the second half of 2025.
“Today’s announcement reflects our commitment to sharpening our focus, lowering our expense structure and strengthening our balance sheet,” Intel Chief Executive Lip-Bu Tan said in a news release.
Follow Patrick Seitz on X, formerly Twitter, at @IBD_PSeitz for more stories on consumer technology, software and semiconductor stocks.
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