By Yang Jie in Tokyo and Sherry Qin in Singapore
Foxconn Technology Group is expanding global production of artificial-intelligence servers and other components to capture surging cloud infrastructure investment while strengthening localized manufacturing in key markets.
As hyperscalers continue to invest heavily in AI infrastructure, Foxconn has emerged as a critical supplier supporting the sector's rapid expansion. A surge in global cloud spending is now prompting the company to ramp up production across its advanced AI hardware lineup.
Once mainly associated with manufacturing Apple's devices, the company has in recent quarters derived a meaningful portion of its revenue from building AI servers for industry leaders such as Nvidia.
That has translated to historic financial results. Net profit climbed by a better-than-expected 35% to 59.97 billion New Taiwan dollars, equivalent to US$1.86 billion, in the second quarter as revenue surged 41% from a year earlier to NT$2.526 trillion. The company's server-related revenue recorded the strongest growth, accounting for more than half of total revenue.
