Foxconn earned more from AI servers and cloud equipment than from consumer devices

来源 Cryptopolitan

Taiwan’s Foxconn (2317.TW) core business is no longer centered on Apple (AAPL.O). The company, best known for assembling millions of iPhones, now earns more from making AI servers and other cloud and networking equipment, work that includes major orders for Nvidia (NVDA.O).

Foxconn’s mix shift became clear in the second quarter, when revenue from those products surpassed income from smart consumer devices for the first time.

The milestone caps a transition that began years ago and has spread across Taiwan’s tech sector according to Reuters.

For Foxconn, investors had long viewed its heavy exposure to smartphones as a key risk, as growth in new iPhone demand has slowed since the first model launched nearly two decades ago. The world’s top iPhone assembler has felt that cooling momentum, analysts say.

Since taking over in 2019, Chairman Young Liu has pushed Foxconn to widen its reach, backing AI servers, electric vehicles, and semiconductors. The EV and chip bets have yet to add meaningfully to revenue.

By contrast, the server push, especially for AI systems, has paid off as cloud providers race to build computing capacity. Foxconn moved early, before the technology drew broad attention with the arrival of ChatGPT in late 2022.

Foxconn maintains strong position in server market

The company’s sales breakdown shows the turn. Consumer electronics made up 35% of total revenue in the second quarter. Cloud and networking, which include servers, accounted for 41%. Back in 2021, consumer electronics were 54% of revenue. The numbers underline a business that is steadily tilting away from handsets and toward data center hardware.

Those early, cautious investments helped Foxconn build a prized relationship with Nvidia and other big AI customers, analysts say.

“The company has been in the business for years, meeting higher quality requirements, diversifying assembly and operations across sites, and pursuing vertical integration,” said Ming-Chi Kuo, an analyst at TF International Securities.

Foxconn’s history in the field stretches back two decades. It began producing reference designs for Nvidia graphics cards around 2002.

By about 2009, it was building general-purpose servers for cloud service providers’ data centers. The current AI server work with Nvidia, analysts say, is a natural outcome of that long track record.

Today, Foxconn says it ranks among the world’s largest suppliers of both general-purpose and AI servers, with a market share near 40% in each category. Its approach often includes putting capital to work earlier than peers, according to Kuo. He pointed to past investments for Apple and similar moves for Nvidia. “In long-term partnerships, Foxconn is more willing to take the initiative,” he said.

Planned factories in Houston, Texas, part of Nvidia’s $500 billion U.S. investment plan, and in Mexico to make AI servers for the U.S. customer reflect that strategy, analysts say. Looking ahead, Foxconn expects AI server revenue to rise more than 170% in the third quarter from a year earlier.

Foxconn’s pivot is part of a wider change in Taiwan’s technology industry

Firms once focused on consumer devices, Foxconn on iPhones, and companies like Quanta Computer (2382.TW) and Wistron Corp (3231.TW) on notebooks, are now channeling more resources into AI servers.

The results are showing up in sales. Nvidia partner Wistron reported revenue growth of 92.7% for January to July.

Quanta posted a 65.6% rise over the same period. “The monthly sales jump for Taiwan ODMs in the first half of 2025 is evidence of this trend,” said Robert Cheng, head of Asia technology hardware research at BofA Global Research, referring to original design manufacturers that build products for clients.

Chris Wei of Taiwan’s Market Intelligence & Consulting Institute said the fast shift was helped by Taiwan’s supply chain, which has worked with U.S. tech giants on data-center gear for about 10 years. He estimates Taiwan ships about 80% of all servers and over 90% of AI servers.

Don’t just read crypto news. Understand it. Subscribe to our newsletter. It's free.

免责声明:仅供参考。 过去的表现并不预示未来的结果。
placeholder
【今日市场前瞻】FED会议纪要来袭!比特币、以太坊大跌后反弹美联储会议纪要将出炉,黄金或迎波动;比特币、以太坊大跌后反弹,12万人爆仓;纽元汇率大跌超1%>>
作者  Alison Ho
8 小时前
美联储会议纪要将出炉,黄金或迎波动;比特币、以太坊大跌后反弹,12万人爆仓;纽元汇率大跌超1%>>
placeholder
澳元汇率3连跌!风险情绪下降,何时反弹?澳央行降息预期上升、市场风险偏好下降、加上美元反弹,使得澳元汇率承压。
作者  Tony Chou
10 小时前
澳央行降息预期上升、市场风险偏好下降、加上美元反弹,使得澳元汇率承压。
placeholder
港币汇率升破7.8创三个月新高!什么原因?未来走势如何?港币未来走势,需关注美联储货币政策和香港金管局的流动性管理措施。
作者  Alison Ho
10 小时前
港币未来走势,需关注美联储货币政策和香港金管局的流动性管理措施。
placeholder
纽元汇率大跌创4个月新低!新西兰联储鸽派降息25个基点,未来走势如何?新西兰联储比预期更快转向鸽派立场,市场押注未来还有2次降息。
作者  Alison Ho
11 小时前
新西兰联储比预期更快转向鸽派立场,市场押注未来还有2次降息。
placeholder
8.20精选策略分享:纳斯达克100指数、比特币、以太币、Meta技术分析联准会主席鲍威尔周五在杰克森霍尔(Jackson Hole)全球央行年会公布新政策框架,投资者情绪偏向谨慎。加之Meta据报考虑全面缩减人工智能(AI)部门的规模,美国科技巨头承压,比特币、以太币大幅下跌。美债市场当前最大风险是鲍威尔对9月降息的市场预期普遍泼冷水,若果他没有发出某程度的鸽派讯息,不排除美股、数字货币等风险资产或出现更大的调整。投资者日内可重点关注联准会公布货币政策会议纪要。
作者  Insights
14 小时前
联准会主席鲍威尔周五在杰克森霍尔(Jackson Hole)全球央行年会公布新政策框架,投资者情绪偏向谨慎。加之Meta据报考虑全面缩减人工智能(AI)部门的规模,美国科技巨头承压,比特币、以太币大幅下跌。美债市场当前最大风险是鲍威尔对9月降息的市场预期普遍泼冷水,若果他没有发出某程度的鸽派讯息,不排除美股、数字货币等风险资产或出现更大的调整。投资者日内可重点关注联准会公布货币政策会议纪要。
goTop
quote