Jensen Huang, CEO of Nvidia, announced the company will invest $150 billion annually in Taiwan, calling the island the "epicentre" of the global AI revolution during remarks in Taipei on Tuesday.
The staggering investment figure—equivalent to approximately 40 percent of Taiwan's entire GDP—underscores the island's irreplaceable role in the AI supply chain and highlights the strategic vulnerability at the heart of the technology race between Washington and Beijing.
"Taiwan is at the absolute center of the AI revolution," Huang told an industry conference. "The partnership between Nvidia and Taiwan's semiconductor ecosystem is the foundation of the modern AI age."
The commitment reflects Nvidia's deepening dependence on Taiwan Semiconductor Manufacturing Company (TSMC), which produces the advanced chips that power Nvidia's AI accelerators. TSMC's 3-nanometer and upcoming 2-nanometer processes are critical to maintaining Nvidia's technological edge in AI hardware.
Watch what they do, not what they say. In East Asian diplomacy, the subtext is the text.
The announcement comes as Taiwan faces mounting geopolitical pressure. Beijing has repeatedly stated its intention to "reunify" with what it considers a breakaway province, while the island has become central to Washington's strategy to maintain technological leadership over China.
Analysts note that Nvidia's massive annual investment—far exceeding the company's previous commitments to the region—effectively makes Taiwan's security a core business imperative for the world's most valuable chipmaker. The company's market capitalization recently surpassed $3 trillion, driven almost entirely by AI chip demand.
