Taiwan-based Foxconn, the world’s largest electronics manufacturer, has reported record growth driven by rising demand for AI products, the company said on Monday.

In its fourth-quarter revenue report, Foxconn — both Nvidia’s biggest server manufacturer and Apple’s top iPhone assembler — said quarterly revenue rose 22.07 per cent year on year to T$2.6028 trillion.

The company reported consolidated revenue of T$862.86 billion for December alone, up 31.77 per cent annually and a record for the month.

With these results, Foxconn beat analyst expectations, surpassing the LSEG SmartEstimate forecast of T$2.418 trillion.

In a statement, Foxconn said growth was led by cloud and networking products and components, benefiting from strong pull-in momentum for AI-related orders.

Smart consumer electronics were broadly flat due to exchange-rate effects, while computing products declined.

Foxconn added that quarterly revenues rose significantly on both a sequential and annual basis, exceeding expectations and setting a high comparison base for the first quarter of 2026.

“In the first quarter of 2026, ICT products have entered a traditional off-season,” it said.

“However, with continued ramp-up in AI rack shipments, even against the high base of 4Q25, the seasonality of this quarter is expected to be near the upper end of the past five-year range,” Foxconn added.

In November, Foxconn announced a collaboration with OpenAI to co-design and manufacture hardware for artificial intelligence data centres in the United States.

According to OpenAI’s statement, the partnership focuses on design work and US manufacturing readiness for “the next generation of AI infrastructure hardware”.

OpenAI said it will share insight into emerging hardware needs to inform Foxconn’s development efforts and will have early access to evaluate the systems with an option to purchase them. The initial agreement carries no purchase commitments or financial obligations.

The companies plan to co-develop multiple generations of AI server racks in parallel, and to manufacture critical components at Foxconn’s US facilities.

The scope includes cabling, networking, cooling and power systems, with the stated aim of strengthening domestic supply chains, broadening chipset sourcing to include more US suppliers, and expanding local testing and assembly.

---