Nvidia, a leading chipmaker, has announced a significant expansion of its US operations, commissioning over a million square feet of manufacturing space in Arizona and Texas to produce AI chips. This move marks a major shift in the company's production strategy, with the goal of producing up to half a trillion dollars of AI infrastructure in the US within the next four years.

The company has started production of its Nvidia Blackwell chips at TSMC's chip plants in Phoenix, Arizona, and is building "supercomputer" manufacturing plants in Texas, in partnership with Foxconn in Houston and Wistron in Dallas. Additionally, Nvidia is partnering with Amkor and SPIL for packaging and testing operations in Arizona. The company expects mass production at both plants to ramp up in the next 12-15 months.

This expansion is a strategic move by Nvidia to meet the growing demand for AI chips and supercomputers, while also strengthening its supply chain and boosting resiliency. According to Nvidia CEO Jensen Huang, "The engines of the world's AI infrastructure are being built in the United States for the first time. Adding American manufacturing helps us better meet the incredible and growing demand for AI chips and supercomputers."

The move is also seen as a significant win for the US, as it brings high-tech manufacturing jobs and investment to the region. The production of AI chips and supercomputers in the US is expected to have a positive impact on the country's AI ecosystem, driving innovation and advancement in the field.

Nvidia's decision to expand its US operations is likely driven by the growing demand for AI technology, which is being increasingly adopted across industries. The company's AI chips are used in a wide range of applications, from cloud computing and data centers to autonomous vehicles and healthcare. By producing these chips in the US, Nvidia is well-positioned to meet the growing demand and capitalize on the opportunities presented by the AI market.

The expansion also highlights the importance of the US as a hub for AI innovation and production. With the likes of Google, Microsoft, and Amazon already investing heavily in AI research and development in the US, Nvidia's move is likely to further solidify the country's position as a leader in the field.

As the AI market continues to grow and evolve, Nvidia's expansion in the US is likely to have significant implications for the industry as a whole. With its commitment to producing up to half a trillion dollars of AI infrastructure in the US, Nvidia is set to play a major role in shaping the future of AI technology.

This is a developing story, and we will continue to provide updates as more information becomes available.