Hon Hai posts 35% January revenue jump on AI server demand
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Hon Hai Precision Industry Co., the world’s largest electronics manufacturer and leading technology provider, reported a 35.5% surge in revenue in January. This rise demonstrated that the global demand for artificial intelligence (AI) server hardware continues to expand strongly. The Taiwanese electronics giant, a key manufacturing partner for Nvidia Corp., said it achieved roughly NT$730 billion (about US$23 billion) in revenue last month. That performance reflects brisk orders for server systems that house Nvidia’s AI chips, used by major cloud providers and enterprises to train and run large-scale AI applications. However, analysts conducted research and discovered that the Lunar New Year holiday shift could skew the year-over-year analysis. Afterwards, they predicted that Hon Hai would report a substantial sales increase for the three months ending in March, amounting to a 28% surge. Hon Hai positions itself as a key supplier in the tech industry Hon Hai manufacturers servers play a crucial role in Nvidia’s AI hardware industry. In this industry, they actively house chips for data centers. In line with its unique role, the firm has generated significant profits from US-based companies such as Meta Platforms Inc. and Amazon.com Inc., which are allocating considerable funds to the infrastructure needed to train and operate AI models. Even so, these firms raised concerns regarding the consistency of the oversupply issue as the industry struggles to find a clear path to profitability for the technology. In the meantime, towards the end of last year, Hon Hai also saw a major increase in its third-quarter gains amid a surge in demand for AI servers. The Taiwanese electronics manufacturer, best known as a key assembler of Apple’s iPhone, reported net profit of NT$57.67 billion for the July-to-September period. This figure represents a 17% year-over-year increase, exceeding analysts’ forecasts. On the other hand, the firm reported revenue of…
Filed under: News - @ February 5, 2026 1:30 pm