Microsoft will spend $3.3 billion to build an AI data center on the former site of Foxconn in Wisconsin
The Biden administration in the United States announced that Microsoft will invest $3.3 billion to build an artificial intelligence (AI) data center in Wisconsin, a land previously designated for Foxconn's main facilities.
Microsoft is a major investor in OpenAI, a generative artificial intelligence startup that created ChatGPT. Microsoft stated that its investment in the Racing area between Milwaukee and Chicago will create 2300 construction jobs and 2000 permanent jobs. It is reported that the Microsoft project will also provide thousands of technical job opportunities for local people.
When announcing the project, the Biden administration described Microsoft's planned investment as offsetting Foxconn's "failure" to build a $10 billion LCD display factory in the state. In June 2018, Trump went to Wisconsin to celebrate the groundbreaking of the Foxconn factory and praised the project as "the eighth wonder of the world," but it never materialized.
The White House stated that "Foxconn has abandoned its plan to produce LCD screens in the state and only created a small portion of the promised job opportunities," adding that although "100 houses and farms have been flattened to make way for manufacturing factories, and more than $500 million in taxpayer funds have been invested to prepare sites, these investments have not been realized."
The statement emphasizes the importance of Wisconsin in the upcoming presidential election. In 2020, Biden narrowly defeated Trump in the state. Biden will go to Rasin to officially announce this investment.
The Biden administration has also been promoting its progress in attracting US semiconductor investment. In March of this year, the United States announced that it would provide $8.5 billion in funding for Intel's Chip Act; In April, TSMC provided over $6 billion in funding, and TSMC has pledged to increase its investment in the United States by over 60% to $65 billion. Meanwhile, Samsung has more than doubled its investment in advanced chips to $45 billion.
Microsoft purchased the land in Rasin from Foxconn in 2023 as Foxconn significantly reduced its investment in Wisconsin.
Foxconn has transformed its factories into production facilities for network devices and servers, stating that the United States does not have enough ecosystems to manufacture displays. Foxconn's artificial intelligence server customers include Microsoft and Amazon AWS, and the company also plans to produce electric vehicle batteries in Wisconsin.
Microsoft is vigorously promoting investment in artificial intelligence. In April this year, Microsoft announced a series of artificial intelligence infrastructure investments in Asia, including $2.9 billion in Japan, $1.7 billion in Indonesia, and $2.2 billion in Malaysia.
Earlier this year, Microsoft increased its offensive efforts in the generative AI competition by investing in French startup Mistral AI (a competitor to OpenAI). Meanwhile, Microsoft's main competitor Amazon AWS has also announced billions of dollars in investment in cloud computing in Japan, India, and Singapore.
When announcing the project, the Biden administration described Microsoft's planned investment as offsetting Foxconn's "failure" to build a $10 billion LCD display factory in the state. In June 2018, Trump went to Wisconsin to celebrate the groundbreaking of the Foxconn factory and praised the project as "the eighth wonder of the world," but it never materialized.
The White House stated that "Foxconn has abandoned its plan to produce LCD screens in the state and only created a small portion of the promised job opportunities," adding that although "100 houses and farms have been flattened to make way for manufacturing factories, and more than $500 million in taxpayer funds have been invested to prepare sites, these investments have not been realized."
The statement emphasizes the importance of Wisconsin in the upcoming presidential election. In 2020, Biden narrowly defeated Trump in the state. Biden will go to Rasin to officially announce this investment.
The Biden administration has also been promoting its progress in attracting US semiconductor investment. In March of this year, the United States announced that it would provide $8.5 billion in funding for Intel's Chip Act; In April, TSMC provided over $6 billion in funding, and TSMC has pledged to increase its investment in the United States by over 60% to $65 billion. Meanwhile, Samsung has more than doubled its investment in advanced chips to $45 billion.
Microsoft purchased the land in Rasin from Foxconn in 2023 as Foxconn significantly reduced its investment in Wisconsin.
Foxconn has transformed its factories into production facilities for network devices and servers, stating that the United States does not have enough ecosystems to manufacture displays. Foxconn's artificial intelligence server customers include Microsoft and Amazon AWS, and the company also plans to produce electric vehicle batteries in Wisconsin.
Microsoft is vigorously promoting investment in artificial intelligence. In April this year, Microsoft announced a series of artificial intelligence infrastructure investments in Asia, including $2.9 billion in Japan, $1.7 billion in Indonesia, and $2.2 billion in Malaysia.
Earlier this year, Microsoft increased its offensive efforts in the generative AI competition by investing in French startup Mistral AI (a competitor to OpenAI). Meanwhile, Microsoft's main competitor Amazon AWS has also announced billions of dollars in investment in cloud computing in Japan, India, and Singapore.