NVIDIA, the world-famous tech company known for its powerful computer chips, is making a big move—they’re coming to Texas. To avoid international tariffs and strengthen their supply chain, NVIDIA has announced plans to build two massive factories in the state. This will be the first time the company manufactures AI supercomputers entirely in the United States.
Why Texas? Simply put, Texas has the space, support, and infrastructure needed to help NVIDIA grow while avoiding costly import tariffs that were introduced during President Trump’s trade war with China.
Why NVIDIA Is Investing in Texas
NVIDIA’s CEO Jensen Huang recently shared that building AI hardware in the U.S. will help them keep up with the growing demand for AI chips and supercomputers.
In his own words:
“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.”
This investment is part of a long-term plan to make NVIDIA less dependent on factories in Asia and more focused on local production in the United States.
Where Will NVIDIA’s New Factories Be Located?
According to a report by PCMag.com, NVIDIA will build two new factories in Texas, partnering with two major electronics companies:
- Houston: NVIDIA is teaming up with Foxconn, a company that also helps Apple build iPhones.
- Dallas: They are working with Wistron, a well-known electronics manufacturer based in Taiwan.
The two factories will span over a million square feet, making them major hubs for AI chip production and testing.
What Will the Factories Produce?
NVIDIA plans to use the Texas facilities to:
- Manufacture AI supercomputers entirely in the U.S.
- Assemble and test chips produced by Taiwan’s TSMC, the world’s top chip maker.
This will not only help NVIDIA avoid tariffs and international shipping delays, but also speed up the process of delivering AI solutions to customers across the U.S. and beyond.
Mass production at these factories is expected to begin in the next 12 to 15 months, which means by mid-to-late 2026, Texas could be playing a major role in powering the future of AI.