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OpenAI teams up with Foxconn in game-changing move to rebuild America’s AI hardware powerhouse

| @@indiablooms | Nov 21, 2025, at 03:01 pm

Open AI has announced a collaboration with Hon Hai Technology Group (Foxconn) focused on design work and U.S. manufacturing readiness for the next generation of AI infrastructure hardware.

As part of this work, OpenAI will share insight into emerging hardware needs across the AI industry to help inform Foxconn’s design and development efforts for hardware to be manufactured at Foxconn’s U.S. facilities.

While this initial agreement does not include purchase commitments or financial obligations, OpenAI will have early access to evaluate these systems and an option to purchase them.

As AI capabilities continue to advance, so has the need for a new class of physical infrastructure that is purpose-built for the demands of advanced models.

By combining OpenAI’s insight into the needs of today’s and future models with Foxconn’s manufacturing expertise, the companies will work together to strengthen domestic supply chains across the U.S. and accelerate the deployment of advanced AI systems.

Building this infrastructure in the U.S. is essential to strengthening supply chains and supporting continued American leadership in AI.

This new initiative will focus on three core efforts:

Designing for multiple generations of data center hardware: OpenAI and Foxconn will co-design, engineer, and develop multiple generations of AI data center racks in parallel to keep pace with rapidly advancing model needs.

By combining OpenAI’s infrastructure roadmap with Foxconn’s engineering and manufacturing expertise, we can bring new systems online faster and secure capacity for long-term growth.

Strengthening and simplifying the U.S. AI supply chain: Together, we will work to improve rack architecture so it can be manufactured across the U.S., broaden sourcing to include more chipsets and domestic suppliers, and expand localized testing and assembly.

This will improve reliability, speed deployment, and strengthen the ecosystem, building a more resilient and scalable American supply chain.

Building critical AI data center components in the U.S.: Foxconn will manufacture key equipment for AI data centers—including cabling, networking, cooling, and power systems—in the U.S.

This will support the rapid construction of high-performance compute infrastructure and help ensure the economic benefits reach workers and manufacturers in order to meet the demands of AI workloads today and in the future.

“We at Foxconn are thrilled to partner with OpenAI—a pioneer at the forefront of the AI digital age,” said Foxconn Chairman Young Liu.

“As the world’s largest manufacturer of AI data servers, Foxconn is uniquely positioned to support OpenAI’s mission with trusted, scalable infrastructure that accelerates innovation and broadens access to transformative AI capabilities for businesses and users worldwide.”

“The infrastructure behind advanced AI is a generational opportunity to reindustrialize America,” said Sam Altman, CEO of OpenAI.

“This partnership is a step toward ensuring the core technologies of the AI era are built here. We believe this work will strengthen U.S. leadership and help ensure the benefits of AI are widely shared.”

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