Foxconn working on a new tie-up with OpenAI, says there is no AI bubble

Reuters reports that Foxconn Chairman Young Liu told reporters at the company's annual event to showcase its technology that he had met OpenAI Chief Executive Sam Altman earlier in the day[1] and that a deal would be announced once details were confirmed. According to Reuters, Liu did not elaborate further.[1] The Next Web reports that OpenAI has not commented.[2]According to Reuters, any deal would build upon last year's agreement between the two firms to work together on designing and engineering data-centre racks, components and other AI hardware.[1] The Next Web reports that that deal did not include any purchase commitments from OpenAI.[2]Reuters reports that while AI-sector stocks have been hit hard by concerns that relentless heavy investment is not sustainable amid climbing borrowing costs, Liu said the industry was not in a bubble[1].According to Reuters, Liu said Foxconn has six factory buildings in Houston, Texas, where it manufactures AI servers for Nvidia, and sees a need for further expansion[3].Reuters also reports that Brand Cheng, chairman of unit Foxconn Industrial Internet (FII), told Reuters on Friday that more than 10 humanoid robots had been deployed at its Texas facilities for internal use.[3] According to Reuters, Cheng said Foxconn plans to extend deployment beyond Texas[3].