At the Computex 2025 trade fair in Taipei, Nvidia CEO Jensen Huang unveiled NVLink Fusion, a technology designed to integrate Nvidia's AI chips with those from other manufacturers. This initiative aims to expand Nvidia's ecosystem and maintain its leadership in the AI sector amid evolving global challenges.

Facing potential slowdowns in global AI infrastructure investments and U.S. export restrictions affecting sales to China, Nvidia is proactively expanding its ecosystem through NVLink Fusion. This technology allows companies to incorporate custom chips with Nvidia's platform, reducing reliance on large-scale national deals. Huang emphasized that AI infrastructure is becoming a societal norm and highlighted NVLink Fusion as a new growth approach for the company.

In addition to NVLink Fusion, Huang announced plans for a new local headquarters in Taiwan and the construction of an AI supercomputer in collaboration with Foxconn's Big Innovation Company and the Taiwanese government. The supercomputer, to be housed at the Hon Hai Kaohsiung Super Computing Center, will utilize 10,000 of Nvidia’s Blackwell chips and is expected to deliver over 90 exaflops of AI performance, making it the fastest in Taiwan. These projects are anticipated to cost hundreds of millions of dollars and aim to bolster Taiwan's tech ecosystem, including key partner Taiwan Semiconductor Manufacturing Company (TSMC).

Nvidia's strategic moves come amid a potential slowdown in global AI infrastructure investments and U.S. export restrictions affecting sales to China. The company's deepening partnership with Foxconn, which has significant operations in mainland China, raises geopolitical concerns, especially as the Chinese government aggressively advances AI and semiconductor technologies. Approximately 75% of Foxconn's manufacturing occurs in China, prompting U.S. authorities to scrutinize the technologies Nvidia shares.

The development of the AI supercomputer in Taiwan is expected to drive advancements in cancer research, large language model development, and smart city innovations, positioning Taiwan as a global leader in AI-driven industries. Foxconn's "three-platform strategy" focuses on smart manufacturing, smart cities, and electric vehicles, with the new supercomputer playing a pivotal role in supporting these efforts.

This is not the first time Nvidia has invested in Taiwan. In 2024, the company considered setting up a second AI research and development center in Kaohsiung Software Park, reflecting its ongoing commitment to the region.

Nvidia's announcements at Computex 2025 signify a strategic effort to maintain its leadership in the AI sector through technological innovation and strategic partnerships, while also navigating complex geopolitical landscapes.