Nvidia just made its biggest supply chain move yet, with CEO Jensen Huang announcing that the company's fastest Blackwell AI chips are now in full production in Arizona. The shift marks a historic break from Taiwan-only manufacturing and comes after President Trump personally asked Huang to bring chip production back to U.S. shores nine months ago.
Nvidia CEO Jensen Huang dropped a bombshell at the company's Washington D.C. conference Tuesday, revealing that the world's most coveted AI chips are now rolling off production lines in Arizona. The Blackwell graphics processing units, which previously existed only in Taiwanese fabs, represent a seismic shift in global semiconductor manufacturing that could reshape the entire AI supply chain.
The announcement sent immediate ripples through tech and policy circles. Huang disclosed that President Trump had personally pressed him on this issue nine months ago, with a direct request to relocate manufacturing for national security reasons. "The first thing that President Trump asked me for is bring manufacturing back," Huang told the packed audience of policymakers and industry leaders. "Bring manufacturing back because it's necessary for national security. Bring manufacturing back because we want the jobs."
The timing isn't coincidental. Nvidia has been navigating increasingly complex geopolitical waters, with U.S. export restrictions already costing the company billions in lost Chinese sales. Earlier this month, Taiwan Semiconductor Manufacturing Company and Nvidia confirmed that the first Blackwell wafers had successfully emerged from their Phoenix facility - the base material that semiconductors get etched onto.
But this goes beyond just chip production. Huang revealed that Blackwell-based systems will now be fully assembled on American soil too, creating a complete domestic supply chain for the world's most advanced AI infrastructure. The move comes as demand for Nvidia's GPUs continues to surge, with 6 million Blackwell units shipped over the past four quarters alone.
The financial stakes couldn't be higher. Huang projected a staggering $500 billion in combined GPU sales between the current Blackwell generation and next year's Rubin chips. That's nearly double Apple's entire annual revenue, concentrated in just two chip generations.
Then Huang unveiled his second major play - a $1 billion investment in Finland's Nokia to build next-generation telecommunications gear. The partnership directly challenges China's Huawei, which has dominated global cellular infrastructure despite being effectively banned from U.S. networks since 2018. "Our fundamental communication fabric is built on foreign technologies," Huang declared. "That has to stop."
