Foxconn says OpenAI collaboration is in the works

Foxconn flagged that a collaboration with OpenAI was in the works, but the announcement came without details about what the companies might do together.[1] Liu said he had met OpenAI CEO Sam Altman earlier that day at Foxconn’s annual technology showcase.[1] He said the companies would announce details once they were confirmed.[1] For businesses evaluating the announcement, the distinction matters: the evidence establishes that discussions are under way, not the scope, timing or commercial terms of a new deal.[1]

Any new deal would build on a 2025 agreement to design and engineer data-center racks, components and other AI hardware.[1][2] OpenAI said that initial agreement did not include purchase commitments or financial obligations.[3] It said OpenAI would receive early access to evaluate the systems and an option to purchase them.[3] The companies said they would co-design, engineer and develop multiple generations of AI data-center racks in parallel.[3] OpenAI also said it would share information about emerging AI-industry hardware needs to inform Foxconn’s design and development work.[3]

OpenAI described the existing collaboration as covering design work and U.S. manufacturing readiness for next-generation AI infrastructure hardware.[3] Foxconn said it would manufacture key AI data-center equipment in the United States, including cabling, networking, cooling and power systems.[3] OpenAI characterized the partnership as a step toward ensuring core AI-era technologies are built in the United States.[3] These details describe the earlier agreement; Foxconn has not said whether or how the prospective collaboration would change its scope or manufacturing plans.[1]

Foxconn, formally Hon Hai Precision Industry, is Nvidia’s biggest AI server maker, according to Reuters, and the company is increasingly relying on AI infrastructure to drive growth.[1] Its cloud and networking products segment, which includes AI servers, accounted for 51% of second-quarter revenue, surpassing 50% for the first time.[1] Liu said the AI industry was not in a bubble.[1] The article noted that AI-sector stocks had faced concerns that heavy investment was unsustainable amid rising borrowing costs.[1] Liu also said Foxconn expects double-digit growth in 2027.[4]