Nvidia CEO Jensen Huang announced plans to build a new campus in Taiwan at an employee meeting on May 27, 2026.
Nvidia
Nvidia CEO Jensen Huang announced Wednesday that the company is expanding significantly in Taiwan with a new campus and a 10x increase in annual spending, as it plans to grow using artificial intelligence.
Taiwan’s Tai Trade Stock Price Index rose 1.7% to a record high on Wednesday. South Korea’s SK Hynix and US-based micron became the latest chip company to reach $1 trillion in market value.
“Currently, we spend $100 billion on Taiwan, reaching $150 billion every year,” Huang said in Taipei, noting that the amount is $15 billion a year, up from $10 billion just four or five years ago.
By the end of the year, he said, NVIDIA plans to begin construction on a new office complex called Constellation in northern Taipei that will accommodate 4,000 employees when it opens in 2030. This is four times the number of employees the company currently has in Taiwan.
Shares of a major Taiwanese chip manufacturer TSMC It closed 1.3% higher on Wednesday. media tech increased by 8.8%; delta electronics It rose 7.2%. All three stocks are major players in the semiconductor industry and the largest companies by market capitalization in the Taiex index.
Nvidia will design the chip and TSMC will manufacture it. Nvidia is expected to surpass Apple as TSMC’s largest customer this year.
The $150 billion annual spending in Taiwan will be one of NVIDIA’s largest spending plans to date and will exceed the revenue the company earned in a single quarter. The company reported record revenue of $81.6 billion in the quarter ending April 26 and forecasts revenue of $91 billion for the current quarter.
The company announced plans to invest $500 billion over four years in U.S. AI infrastructure with local manufacturers. This equates to an average of $125 billion per year in value creation in the United States.
Competition in China accelerates
The investment comes as Nvidia faces increasing regulatory hurdles in selling to the mainland Chinese market. In the latest quarter, revenue from Taiwan rose more than 50% year over year, while revenue from mainland China and Hong Kong halved.
Shares of major mainland Chinese semiconductor companies, including SMIC, fell sharply on Wednesday, with Cambricon falling 5% and Hygon falling 7%.
Shares of Chinese telecoms giant Huawei rose earlier in the week after the company announced Monday morning that it had developed a new approach to manufacturing advanced semiconductors. The company plans to use its new “LogicFolding” engineering in smartphone chips this fall and Ascend chips that will power data centers “by around 2030.”
Earlier this month, widely followed venture capitalist Chamath Palihapitiya also said that advances by US-based Neuralink could reduce Taiwan’s importance to global semiconductor development within 18 months.
“Taiwan is the epicenter of the AI revolution,” Huang said Wednesday.
AI combined with hardware, or “physical AI,” will “transform manufacturing,” Huang added. “In Taiwan, our partners will benefit from our full range of manufacturing-transforming technologies.”
—CNBC’s Katie Tarasoff contributed to this report
