Taiwan's Foxconn, the world's largest contract electronics manufacturer and Apple's primary iPhone maker, anticipates that its server revenue will eclipse its iPhone revenue within two years, according to Taiwan’s Central News Agency.
Chairman Young Liu, speaking with the news agency during Nvidia's annual developer conference, expressed confidence that this shift would "definitely happen within two years" and could potentially occur even sooner.
Foxconn produces Nvidia’s latest AI servers, including the GB200 and GB300 models. The company confirmed Liu's statements in a follow-up communication.
“We manufacture most of the Nvidia systems,” Liu stated in a live podcast with The Acquired at the conference, noting that while they don't produce 100% of the systems, they hold a significant share.
He indicated that Foxconn's AI server revenue is projected to reach T$1 trillion ($30.29 billion) this year, accounting for over half of the company’s total server revenue.
Liu also mentioned that revenue from cloud and networking products, fueled by strong demand for AI servers, will approach that of smart consumer electronics, including iPhones, this year. In 2024, 30% of the company's revenue came from cloud and networking products, while 46% was derived from smart consumer electronics.