Nvidia and Foxconn have unveiled AI factories at the Hon Hai Tech Day, focusing on developing software for self-driving cars. These AI factories will use Nvidia GPU computing infrastructure to process vast amounts of data in AI models, with Nvidia’s latest GH200 Grace Hopper Superchip. The software developed in these factories will be used in electric vehicles, including the Foxtron Model B. As the cars collect data, it will be sent back to the AI factory, processed through neural networks, and used to update the self-driving software for the entire fleet. This development signifies a transition for both Nvidia and Foxconn into AI and data center computing, and the concept of AI factories can be applied to other industries. However, recent US government regulations restricting chip exports to China may impact Nvidia’s ability to complete product development in a timely manner.