Nvidia GTC Tees Up AI Chip Launch as Foxconn Builds New Server Plants
Foxconn reported a 2% drop in quarterly profit to T$45.21 billion versus consensus T$63.86 billion while forecasting “strong growth” in first-quarter and full-year revenue driven by AI server demand. NVIDIA’s GTC conference is set to showcase new AI chips as the stock lags peers, up just 2% in six months.
1. Foxconn AI Server Factory Expansion
Foxconn is constructing AI server factories in Mexico and Texas to support Nvidia’s growing GPU demand. The company forecast “strong growth” in first-quarter and full-year revenue, driven by sustained global AI server orders, despite a 2% profit decline to T$45.21 billion versus estimates of T$63.86 billion.
2. Nvidia GTC Event Preview
Nvidia’s annual GTC conference will highlight next-generation AI accelerators, software frameworks and partnerships. Wall Street expects announcements on updated GPU architectures and expanded data center solutions aimed at bolstering Nvidia’s leadership in AI infrastructure.
3. Nvidia Stock Underperformance and Alternatives
Despite 70% revenue growth forecasts, Nvidia’s shares are up only 2% over six months, underperforming peers and industry benchmarks. Some analysts suggest Alphabet and Snowflake as AI exposure alternatives, citing broader software integration and data analytics opportunities.