Nvidia CEO Jensen Huang announced plans for a new campus in Taiwan during a staff meeting on May 27, 2026.
Nvidia
Nvidia expanded significantly in Taiwan with a new campus and a tenfold increase in annual expenses, CEO Jensen Huang announced Wednesday, as the chipmaker plans to expand its artificial intelligence capabilities.
Taiwan’s Taiex stock index rose 1.7% to close on Wednesday. Also helping is the news that SK Hynix is based in South Korea and is based in the US Micron became the latest chip-related companies to reach $1 trillion in market value.
“Now we use $100 [billion]to $150 billion in Taiwan each year,” Huang said in Taipei, noting that that is up from $10 billion to $15 billion annually in the past four or five years.
By the end of the year, Nvidia will start building a new office called Constellation, which could house 4,000 workers in northern Taipei when it opens in 2030, he said. That would be four times the size of the company’s presence in Taiwan.
Shares of Taiwan chip giant TSMC closed 1.3% higher on Wednesday, while MediaTek gained 8.8% as well Delta Electronics increased by 7.2%. Three stocks – all giants of the semiconductor industry – are the largest companies by market capitalization in the Taiex index.
Nvidia designs the chips while TSMC makes them. Nvidia is expected to overtake Apple this year as TSMC’s largest customer.
The $150 billion investment in Taiwan will be among Nvidia’s biggest spending plans to date, and surpass what the company made in profit in a single quarter. The company reported a record $81.6 billion in revenue for the quarter ended April 26, and is forecasting $91 billion in revenue for the current quarter.
The company has announced plans to invest $500 billion in AI infrastructure in the US and domestic manufacturers over four years – an average of $125 billion a year in US value creation.
The race to China is accelerating
The investment comes as Nvidia faces growing regulatory hurdles in China’s domestic market. Revenue from Taiwan rose more than 50% from a year ago in the latest quarter, while revenue from mainland China and Hong Kong fell by half.
Shares of China’s leading chip players including SMIC fell on Wednesday, Cambricon fell 5% and Hygon fell 7%.
Stocks rallied earlier in the week after Chinese telecommunications giant Huawei announced on Monday morning that it had come up with a new way to manufacture advanced semiconductors. The company plans to use its new “LogicFolding” engineering in a smartphone chip this fall, and in its Ascend chips that power data centers “around 2030.”
Earlier this month, well-followed financier Chamath Palihapitiya also said that Taiwan was less important to global semiconductor development in 18 months due to the development of US-based Neuralink.
“Taiwan is the center of the AI revolution,” Huang said on Wednesday.
Hardware-integrated AI, or “physical AI,” will “transform productivity,” Huang added. “In Taiwan, our partners will benefit from all of our technology that will transform manufacturing.”
—CNBC’s Katie Tarasov contributed to this report
