In a recent exclusive interview with CNBC’s senior correspondent Emily Tan, Foxconn Chairman Liu Yangwei shared compelling insights into the evolving field of artificial intelligence (AI) and its prospective impact on the company’s future. Liu underscored the importance of “on-device” AI, which processes data directly on mobile devices instead of depending on cloud services or external servers. He regards this as a vital opportunity for growth at Foxconn.
As he discusses the rapid advancements in large language models, Liu highlighted that companies still face considerable hurdles in investing adequately in AI infrastructure. “With advanced language models from organizations like OpenAI becoming smarter with every iteration, I believe the AI boom has a considerable way to go before it fully unfolds,” he remarked.
Liu painted a broader picture of the technology sector, noting a shift towards creating AI that can match or even exceed human intelligence, a concept known as Artificial General Intelligence (AGI). He elaborated, “There’s been plenty of talk about AGI and the different tiers of intelligence it entails. If we classify intelligence into four levels, we are currently at the second level, with a substantial journey ahead to reach the third and fourth levels.”
Expressing optimism about advancements toward higher intelligence in AI, Liu pointed out this trend as a positive indicator for the AI server industry, which has played a significant role in Foxconn’s growth this year.
On the subject of Nvidia’s new Blackwell architecture chips for servers, Liu confirmed that Foxconn is poised to commence shipments in the fourth quarter. When probed about the order status for Blackwell, he disclosed that the demand “far exceeds our expectations,” revealing that Foxconn is in the process of constructing a new factory in Mexico to meet this burgeoning demand.
Nvidia CEO Jensen Huang recently characterized the demand for Blackwell as “crazy” in an interview with CNBC.
Liu added, “I believe there’s substantial room for expansion within the AI server sector. As AGI capabilities enhance, we will witness the emergence of AI devices as another area that demands our focused attention.” He emphasized that generative AI devices are likely to be the next significant growth avenue. “Right now, we are observing this trend within cloud services, where there is strong demand for generative AI cloud-based devices. However, in the forthcoming phase, we expect to see a rise in generative AI devices. We believe this will be a key direction for extensive growth… and we have high hopes for these devices.”
