Foxconn (HNHPF, Financials) received approval from Wisconsin regulators to move forward with a $569 million expansion tied to growing demand for artificial intelligence servers, the company said Wednesday. The Wisconsin Economic Development Corporation authorized the investment, which will broaden operations at Foxconn's Racine County facility.
The company said the additional capacity will focus on AI server production, a segment experiencing rapid growth as data-center operators increase infrastructure spending. Foxconn noted that the project supports U.S. efforts to build more resilient technology supply chains and respond to rising compute demand.
The expansion is expected to add 1,374 jobs and double Foxconn's presence in Wisconsin by the end of the decade. The company said the state currently accounts for nearly a quarter of its U.S. workforce. Foxconn, also known as Hon Hai Technology Group, has spent more than $2 billion in Wisconsin across payroll, capital expenditure, and taxes in recent years.