Foxconn predicts a significant rise in Q3 revenue, driven by AI server business surpassing smart electronics income last quarter. AI server revenue expected to jump 170% YoY, accounting for 41% of Q2 revenue. Cloud computing demand from Amazon, Microsoft, Google boosts Foxconn’s server business. Capital spending to increase by 20% to expand server production capacity in the US.

Foxconn plans to boost AI server production in Texas and Wisconsin amidst global trade uncertainty and US-China trade tensions. Most iPhones made in China, but those sold in the US now produced in India. Foxconn sells former Lordstown car factory for $375 million, will use it to manufacture cloud-related products. Model C EV production for US market to begin in Taiwan.

Foxconn reports net profit of T$44.4 billion for April-June, surpassing estimates. Shares up 8.4% this year, closing 0.5% higher ahead of earnings release. Company sees AI as primary growth driver, with cloud and networking products contributing significantly to revenue. Geopolitical and exchange rate concerns highlighted for future outlook.

Read more at Yahoo Finance: Foxconn sees robust AI demand as second-quarter profit tops forecast