Foxconn is working on a new partnership with OpenAI, Chairman Young Liu said on Friday, October 30. Foxconn, the world’s biggest contract electronics maker, is formally known as Hon Hai Precision Industry. Liu spoke to reporters in Taipei at the company’s annual technology event.
He said he had met OpenAI CEO Sam Altman earlier that day, and an announcement will follow once details are confirmed. Details remain scant, so the scope of the deal is unclear. Liu also rejected fears of an AI bubble and said Foxconn expects double-digit growth next year.
The new tie-up would build on work the two firms announced in November 2025. The earlier deal covers the design of several generations of AI data centre racks. Foxconn also planned to make parts in the US, including cables, cooling systems and power equipment. OpenAI made no purchase commitments, but it got early access to test the hardware and an option to buy it.
On the bubble debate, Liu argued that the industry is not in a bubble, even as investors question how long AI spending can keep growing. Markets are wary of AI after recent setbacks, and Alphabet’s report raised fresh concerns about financing, reports says.
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AI servers now drive much of Foxconn’s business. Its cloud and networking unit, which includes AI servers, made up 51% of second-quarter revenue, the first time it crossed 50%. The company has six factory buildings in Houston that make AI servers for Nvidia, and Liu sees a need to expand.
Foxconn Industrial Internet chairman Brand Cheng said more than 10 humanoid robots now work at its Texas sites for internal use. Foxconn plans to extend deployment beyond Texas. FII is also building AI models for humanoid robots based on Nvidia’s GR00T model.