➀ Elon Musk's xAI startup has ordered NVIDIA GB200 AI servers for $1.08 billion, seeking priority access. ➁ The servers are to be delivered by January 2025 and are expected to enhance xAI's Colossus supercomputer capabilities. ➂ The order is a significant upgrade for xAI's AI computing power.
Recent #Foxconn news in the semiconductor industry
➀ Apple is reportedly in talks with Foxconn; ➁ to manufacture AI servers in Taiwan; ➂ as part of its strategy...
➀ Foxconn's Chairman Young Liu claims that the Trump administration's tariff strategy is causing a 'big headache' for the company's largest tech partners.
➁ Liu discusses the impact of the U.S. government's recent trend of rapid declaration and rescinding of tariffs on Foxconn's business.
➂ The article explores how the unpredictability of the U.S. government's tariffs is affecting the tech industry and Foxconn's manufacturing plans.
➀ Nissan and Honda have suspended their merger talks;
➁ The talks failed to agree on valuations and Honda's desire for Nissan to become a subsidiary;
➂ The MoU aimed to establish a joint holding company by August 26th, but has now been scrapped.
➀ The success of China's EVs is negatively impacting foreign car producers; ➁ Foreign companies like Nissan, General Motors, Volkswagen, BMW, and Mercedes are struggling in China; ➂ Toyota and Honda are exceptions, with Toyota building a new EV factory and Honda restarting EV production in China.
➀ Kioxia's IPO on the Tokyo Stock Exchange valued the company at $5.8 billion. The Bain-led consortium, which previously owned 56.2% of Kioxia, sold a small number of shares to reduce its holding to 50.7%. The consortium paid $18 billion for its stake in 2008. ➁ Before the IPO, other significant shareholders included Toshiba (41%) and Hoya (3%). The Japanese government bailout funds INCJ and DBJ controlled 16.7% of the voting rights. ➂ Kioxia holds a 13.8% share of the NAND market.
➀ Kioxia is set to receive approval for its listing on the Tokyo Stock Exchange at a valuation of $4.84 billion. The company's valuation has dropped sharply from its previous cancelled IPO in October, where it was seeking a valuation of $10.3 billion.➁ Kioxia has faced various offers and acquisitions over the years, including a $30 billion offer from Foxconn in 2017, a $18 billion acquisition by a Bain-led consortium in 2018, and a $20 billion offer from Western Digital in 2022.➂ The Bain consortium owns 56% of Kioxia, Toshiba owns 41%, and the Japanese government bail-out funds INCJ and DBJ control 16.7% of the voting rights.
➀ Kioxia is expected to file for an IPO on the Tokyo Stock Exchange in H1 2025 using a new listing process. The company decided not to proceed with a planned listing in October due to unfavourable market conditions. The new process allows the company to engage with potential investors before the IPO is approved, making the valuation less susceptible to market fluctuations.➁ Kioxia aims to achieve a valuation of $6.5 billion at its listing next year, down from the $10.3 billion it was seeking before the cancelled October IPO.➂ The company has a complex ownership structure with Bain consortium and Toshiba owning significant stakes, and Japanese government funds controlling a portion of the voting rights.
➀ HP's servers are experiencing a surge in sales due to the adoption of NVIDIA's 'world's strongest AI chip', the GB200;
➁ Major cloud service providers like Microsoft and Meta are actively introducing GB200 and expanding their purchases of the higher-end NVL72 cabinets;
➂ Foxconn, as the exclusive supplier of GB200 and NVL72 cabinets, is seeing a flood of orders and a significant boost in server business.
➀ Foxconn is constructing the world's largest Nvidia GB200 chip factory in Mexico to meet the AI market's demand for Blackwell chips; ➁ The GB200 chip is a key component of Nvidia's next-generation Blackwell series of computing platforms; ➂ Foxconn's third-quarter revenue hit a historic high due to strong demand for AI servers.
➀ Foxconn Chairman Young Liu believes the AI boom still has some time to go as AI models are becoming more intelligent with each new iteration. ➁ Progress towards Artificial General Intelligence (AGI) is positive for the AI server industry, benefiting Foxconn's growth. ➂ Demand for Nvidia's Blackwell server chip, manufactured by Foxconn, is exceeding expectations. ➃ Liu sees 'on-device' AI as the next significant growth opportunity for the company. ➄ The rise in smartphone sales, driven by AI features, indicates a potential supercycle for the industry.
➀ Foxconn is set to invest up to ₹424 crore in a semiconductor joint venture with HCL Group; ➁ The investment includes a 40% stake purchase for nearly ₹312 crore; ➂ The total accumulated holding will not exceed ₹424 crore with a cumulative shareholding ratio adjustment based on actual capital increase.
➀ Foxconn and HCL Technologies have secured land for a semiconductor plant in Uttar Pradesh, India; ➁ The joint venture has acquired a 30-acre plot in Noida; ➂ The plant is expected to be near the upcoming Jewar airport.
➀ Foxconn confirms limited availability of Nvidia's Blackwell GPUs this year. ➁ The company expects to increase production volume next year. ➂ Demand for AI servers remains strong, supporting Foxconn's sales targets.