Foxconn has received the Taiwanese government's approval for two major overseas investments, including a US$1.49 billion project in India and a US$735 million data center venture in the US, as the company positions itself to benefit from rising AI infrastructure demand under the US-led Stargate initiative.
Taiwan's Department of Investment Review under the Ministry of Economic Affairs convened on June 24, approving five major investment projects, including plans by Foxconn to invest in India and the US.
According to the press release, Foxconn received approval for two major outbound investments. The first involves US$1.489 billion in new funding for Foxconn Singapore, which will then reinvest in its Indian subsidiary Yuzhan Technology (India) Private Limited to support the construction of a new L5 mechanical components facility in India.
Foxconn's Indian investment was first announced on May 19 with a corporate filing with the Taiwan Stock Exchange (TWSE), where Foxconn Singapore purchased 9,999 shares at INR10 (around US$0.12) each, totaling INR99,990. It also subscribed to about 12.77 billion new shares at the same price, investing US$1.489 billion.
The second Foxconn project is a US$735 million investment using internal funds to establish Project ETA (DE) LLC in the US. The new US-based company will be focused on manufacturing and assembling modular data centers and servers.
Earlier this year, US President Donald Trump announced the Stargate initiative, a massive AI infrastructure project in the US led by companies including SoftBank, OpenAI, and Oracle. The total investment is expected to reach US$500 billion. Foxconn was named as a key manufacturing partner, a move that could significantly boost its future AI server shipments.
Article edited by Joseph Tsai
