TAIPEI (Taiwan News) — Apple has approached Foxconn about building AI servers in Taiwan to capture the AI wave, industry sources said.

Foxconn is Apple’s biggest iPhone supplier, but it is also the leading maker of Nvidia’s AI servers, Nikkei Asia reported on Wednesday (Nov. 6).

Apple is interested in using its own chips to build servers that can power generative AI functions for its Apple Intelligence, the company’s in-house AI, a source familiar with the matter said. However, these servers would be for Apple’s own use, meaning the demand could be less than for Nvidia’s GB200 system.

“One of the reasons Apple wants Foxconn to make servers in Taiwan is in the hope to tap the engineering talent and R&D resources that work for the Nvidia projects,” one industry source said.

Apple’s experience in designing data center servers is not as extensive as Nvidia’s, so it may need more support from suppliers to provide engineering and design services for the servers, one source added.