Gov. Greg Abbott congratulated NVIDIA, one of the world’s leading technology companies, on a groundbreaking investment that will solidify Texas’s standing in the tech landscape.
This endeavor will involve constructing two supercomputer manufacturing facilities in Houston and Dallas. Production is expected to commence within the next 12 to 15 months.
NVIDIA’s investment represents a major commitment to the U.S. economy. The company plans to produce its Blackwell chips in Arizona and build AI supercomputers right here in Texas. This investment will eliminate the need for foreign-made components, making it possible for the first time to produce NVIDIA AI supercomputers entirely in the U.S.
“The engines of the world’s AI infrastructure are being built in the United States for the first time,” said Jensen Huang, founder and CEO of NVIDIA. “Adding American manufacturing helps us better meet the incredible and growing demand for AI chips and supercomputers, strengthens our supply chain, and boosts our resiliency.”
According to the company’s press release, the total projected investment, which amounts to an impressive $500 billion over the next four years, is anticipated to create “hundreds of thousands of jobs” and drive substantial economic growth.
Abbott hailed the development as a testament to Texas’s robustness in semiconductor manufacturing, emphasizing that “Texas is where the future of innovation is building.”
The manufacturing plants will be designed and built with partners Foxconn and Wistron, two electronics manufacturers headquartered in Taiwan. NVIDIA has commenced production of its chips at the Taiwan Semiconductor Manufacturing Company’s chip plant in Phoenix, Arizona, ensuring that it solidifies its domestic supply chain. Over 1 million square feet of manufacturing space has been set aside specifically for these sophisticated operations.
NVIDIA’s state-of-the-art AI supercomputers are poised to become the engines behind the company’s “gigawatt AI factories,” specialized data centers dedicated to AI processing. Utilizing advanced technology, including digital twin technologies and robotics, NVIDIA aims to create an innovative manufacturing ecosystem that contributes to AI and machine learning.
The announcement also reflects broader economic strategies tied to U.S. semiconductor manufacturing. Supporters of the initiative attribute NVIDIA’s decision to a renewed focus on American-made technology, which has been reflected in recent policy shifts. Although current tariff exemptions apply to electronics, the possibility of future tariffs could further motivate domestic production.
“It is unlikely Nvidia would have moved any production to the U.S. if it was not for pressure from the Trump administration,” said D.A. Davidson analyst Gil Luria, per Reuters.
This significant investment by NVIDIA is set to enhance Texas’s reputation as a tech hub and provide the foundation for an advanced manufacturing facility that will play a crucial role in the evolving landscape of AI technology.