TAIPEI (Taiwan News) — Foxconn’s subsidiary Ingrasys said Monday it would invest NT$592 million (US$17.98 million) in its Vietnamese subsidiary Fulian Precision Technology Component Company to expand AI server production.

According to Foxconn’s 2023 report, Fulian was established in January 2023 with a capital of US$200 million. Located in northern Vietnam’s Bac Giang province, the company manufactures electronics including computers, servers, and networking devices as well as electronic components, per CNA.

Additionally, Foxconn has invested in system module packaging company Shunsin, which is expanding its production capacity in Bac Giang. The company previously said that its 800G optical transceiver products could contribute to revenue as early as this year, with a focus on the US and European markets.

Industry analysts believe Prime Optical Module-KY’s Vietnam plant will also mass-produce silicon photonics and co-packaged optics (CPO) products for AI servers.

Meanwhile, FIH Mobile, another Foxconn subsidiary, said it will continue investing in its Vietnamese affiliate Fushan Technology this year. Its business covers home appliances, smartphones, and electric vehicles.

On Wednesday, Foxconn announced that its revenue for February reached NT$551.38 billion, a 2.36% monthly increase and a 56.43% annual increase, CNA reported.