Foxconn Shares Surge as Chairman Reveals OpenAI Meeting and Nvidia Plans

Foxconn shares surge after chairman reveals OpenAI meeting By Investing.com

Investing.com -- Foxconn Technology's shares surged on Wednesday following comments from its chairman about meetings with key artificial intelligence players. Young Liu, chairman of Taiwan-listed Foxconn, told local reporters that he had met with OpenAI Chief Executive Sam Altman at the Taiwanese company's headquarters to discuss potential future collaborations. Liu also mentioned plans to meet with chip giant Nvidia. The world's largest contract electronics maker, formally known as Hon Hai Precision Industry, saw its stock jump amid continued investor enthusiasm about AI opportunities. Despite concerns about frenzied AI investing potentially creating a market bubble, Liu expressed optimism about the sector's future. Speaking on the sidelines of an event on Wednesday, he stated that the application of AI is "just at the beginning" and voiced confidence in the market's potential to continue growing stronger. The stock movement adds to a series of AI-driven rallies that have boosted technology companies involved in the rapidly expanding sector. This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

Foxconn Shares Rise After Chairman Says Met With OpenAI, Plans Nvidia Next

Foxconn Technology's shares surged in yet another stock jump driven by investor enthusiasm about AI, coming after its chairman said he met with ChatGPT maker OpenAI and plans to meet with chip giant Nvidia. Frenzied investing in AI has fueled talk of a bubble, but the chairman of Taiwan-listed Foxconn, the world's largest contract electronics maker, said there is much further to go. The application of AI is "just at the beginning" Foxconn's Young Liu told local reporters on the sidelines of an event on Wednesday, expressing confidence in the market's potential to keep going from strength to strength. He also said that Foxconn, formally known as Hon Hai Precision Industry, had met OpenAI Chief Executive Sam Altman at the Taiwanese company's headquarters to discuss potential future collaborations. Liu also said he plans to meet Nvidia Chief Executive Jensen Huang later this month to talk about possible collaborations. Foxconn's stock jumped 8% to 222.50 New Taiwan Dollars, or US$7.26, in Taipei on Thursday, taking year-to-date gains to 21%. Headlines tying companies to OpenAI, the world's most valuable startup with a $500 billion valuation, tend to send stocks skyrocketing. Shares of Advanced Micro Devices jumped 24% after the chip company announced a multibillion-dollar tieup with OpenAI earlier this month. Another multibillion deal with Broadcom similarly sent the chipmaker's stock up. News of deals with Nvidia have a similar effect, helping send TSMC shares up 14% so far this month to new record highs. While no such deals have yet to be publicly announced with Foxconn, the company has been shifting its focus to high-growth areas, such as making AI servers for U.S. tech giants including Amazon and Nvidia. Foxconn's revenue from cloud and networking products--including AI servers, topped smart consumer electronics to become its biggest business driver in the second quarter. The firm expects AI servers to keep boosting its top line, projecting a more than 170% revenue gain from the segment this quarter.