TAIPEI (Taiwan News) — Electronics manufacturing debuted at Nvidia GTC this week, showcasing its AI servers.

The conference focuses on the latest GPU and AI technologies. Nvidia this year expects over 25,000 attendees and over 2,000 speakers, covering everything from large language models to autonomous vehicles.

However, Nvidia relies on Taiwanese manufacturers for design and production, per CNA. While Compal’s collaboration with Nvidia is focused on Hopper chips and has yet to enter the higher-tier GB series supply chain, its strategy of forging alliances with clients and component suppliers has shown results. A closer partnership with Nvidia could be in the works.

Compal has long competed with Quanta in laptop shipments but was behind in AI servers. After taking office as chair in May, Ray Chen (陳瑞聰) set an aggressive goal to catch up in AI servers.

Industry sources said Compal previously focused on the home computer sector, mainly working with Intel and AMD. Now venturing into AI servers, Compal not only needs to strengthen ties with Nvidia but also faces fierce competition, making success even more challenging.

With cloud service providers engaged in an AI arms race, demand for AI servers is accelerating, they added. Should major suppliers struggle to handle surging orders, spillover effects may allow new entrants like Compal to capture a share of the market.