Foxconn’s latest results show how quickly AI hardware is reshaping its business. The company reported third-quarter net profit of about NT$77.5 billion (US$2.36 billion), up 34% year over year and above analyst expectations. Revenue figures differ across the supplied reports: one gives NT$7.7 trillion, up 39%, while another reports NT$3.016 trillion, up 46%. Cloud and networking products, including AI servers, accounted for 54% of sales in the latter report. Foxconn expects AI server rack shipments to rise at a high double-digit rate from the third to fourth quarter and says AI rack shipments will more than double this year. Chairman Young Liu says AI servers are its most important growth driver, though supply bottlenecks may keep demand ahead of supply. The company also aims to gain market share in 2027, as investors watch spending and possible delays to U.S. data-center construction. Foxconn now builds AI servers for companies including Nvidia, having once been best known for assembling Apple devices.
Microsoft says it will pay the electricity costs of its AI and cloud data centers rather than pass them to other power users or rely on government subsidies. It plans to invest $117 billion in computing capacity this year. With Chevron and Joule, Microsoft is developing Project Kilby, a behind-the-meter power and data-center project in West Texas. Texas has paused approvals for new data centers; Chevron targets an initial launch by 2028 and full operation by 2031. The partners say the project could bring jobs and steady tax revenue to local communities. Separately, investors are eyeing recyclers as a potential way to benefit from the raw-material needs of AI data centers, though the supplied report gives no specific companies or investment figures.
Two brief reports flag developments involving Nvidia and AMD but provide little detail. A November 12, 2026 Yahoo Finance headline says Nvidia’s $164 billion AI strategy faces an unexpected threat without identifying it. Another says AMD made a surprise quantum-computing investment, but does not name the investment or give its terms. A separate investment perspective from Ranmore’s Sean Peche suggests enthusiasm for AI may be nearing its limit. He cites anticipated listings for SpaceX at $1.8 trillion in June and Anthropic at about $1.5 trillion, as well as large fundraising by SpaceX, Alphabet, Intel and Meta. Peche says OpenAI raised $11 billion of a planned $30 billion in late October at a lower valuation than it had sought, and argues that AI-driven investor attention has left opportunities elsewhere, particularly in Asia. He contrasts Spotify at about 39 times adjusted earnings with Tencent Music at an estimated six times earnings after cash and investments.
AI infrastructure and software companies also report strong activity. CoreWeave’s third-quarter revenue reached $3.66 billion, up 168%, and its adjusted operating margin doubled from the previous quarter to 10%. It is renewing contracts for older GPUs at prices 30%–50% higher, a change that could add up to $10 billion in annualized revenue outside its backlog without additional capital spending. Its backlog stands at $132.5 billion, while interest costs equal 23% of revenue. Qvyon launched with $8 million led by MaC Venture Capital to develop Mimic Core, which converts camera, lidar and radar recordings into simulated 3D environments for testing robots and other physical AI systems. The platform is available through Qvyon Cloud with a 14-day guided evaluation or as customer-hosted software; the company plans to expand in the U.S., Europe and Japan and release two more products in 2027.
SoundHound AI was named a Leader and Star Performer in Everest Group’s 2026 assessment of conversational AI and AI agents for customer experience. The group cited voice AI, workflows, safety controls and human support. SoundHound says its OASYS platform launched in May and OASYS Edge in September, enabling businesses to build and run agents in the cloud, on devices or both. Its Emily agent has supported more than 2.2 million patient calls for MUSC Health; agents at Quálitas handle about 100,000 calls monthly and resolve more than 74% of car-assistance requests. In trading, BingX says daily requests to its AI Skills Hub climbed from about 2.85 million to 30 million in five months. Its toolkit lets users query market data, place orders and manage accounts through conversational prompts, with confirmation steps and safeguards; the company says human judgment remains central.
Investor Mellody Hobson warns that today’s market resembles the late-1990s dot-com era, when optimism encouraged risk-taking and investors paid high prices for companies with little or no earnings. Her comments come as investors anticipate a possible Anthropic IPO. Hobson says the current market may be less solid than it appears and cautions against getting swept up in AI enthusiasm.
Key Takeaways
- Foxconn reported third-quarter profit of about NT$77.5 billion, up 34%; AI servers are now its leading growth driver, and it expects high double-digit quarterly growth in rack shipments.
- Foxconn says AI rack shipments will more than double this year and aims to increase market share in 2027; supply constraints and possible U.S. data-center delays remain concerns.
- Microsoft plans to spend $117 billion on computing capacity this year and says it will cover electricity costs for its AI and cloud data centers.
- Microsoft, Chevron and Joule are developing Project Kilby in West Texas, with a target to begin operations by 2028 and reach full operation in 2031; Texas has paused new data-center approvals.
- Reports announce an unspecified threat to Nvidia’s $164 billion AI strategy and an unspecified AMD investment in quantum computing; neither report supplies further details.
- Ranmore’s Sean Peche says AI investor demand may be nearing exhaustion, citing planned SpaceX and Anthropic listings and arguing that Asia offers comparatively overlooked value.
- CoreWeave posted $3.66 billion in third-quarter revenue, up 168%, and has a $132.5 billion backlog; repricing older GPU contracts could add up to $10 billion in annualized revenue without extra capital spending.
- Qvyon raised $8 million to build Mimic Core, which uses camera, lidar and radar recordings to create simulated test environments for physical AI systems.
- SoundHound AI earned Leader and Star Performer recognition from Everest Group; its agents have supported over 2.2 million MUSC Health calls, while Quálitas agents handle about 100,000 calls monthly.
- BingX says daily AI Skills Hub requests rose from 2.85 million to 30 million in five months; Mellody Hobson warns that AI-market enthusiasm echoes the dot-com era.
Foxconn posts record third quarter profit as AI server demand surges
Foxconn reported record net profit of NT$77.5 billion, or US$2.4 billion, for July through September, up 34 percent from a year earlier and above analyst estimates. Revenue rose 39 percent to NT$7.7 trillion. Chairman Young Liu said AI servers have become the company’s most important growth driver, and Foxconn expects growth to continue next year. He warned that supply chain bottlenecks could keep demand ahead of supply, while the company monitors possible effects from policy changes and market shifts.
Foxconn sees continued AI hardware growth and stronger server shipments
Foxconn expects its AI server rack shipments to grow by a high double digit rate from the third quarter to the fourth quarter. The world’s largest contract electronics maker now earns a meaningful share of its revenue from building AI servers for companies such as Nvidia. It was once mainly known for assembling Apple devices.
Foxconn profit jumps 34 percent as AI server demand drives growth
Foxconn Technology Group’s third quarter net profit rose 34 percent from a year earlier to NT$77.52 billion, or US$2.36 billion, beating analyst expectations. Revenue increased 46 percent to NT$3.016 trillion, with cloud and networking products, including AI servers, making up 54 percent of sales. The company expects AI server rack shipments to grow by a high double digit rate in the fourth quarter and has forecast that AI rack shipments will more than double this year. Foxconn aims to grow its market share in 2027, while investors weigh strong demand against concerns about tech companies’ spending and possible delays to U.S. data center construction.
Nvidia’s AI strategy faces an unexpected threat
A Yahoo Finance article by Faizan Farooque published November 12, 2026, carries the headline that Nvidia’s $164 billion AI strategy faces an unexpected threat. The available article text does not explain what the threat is or provide further details.
AMD makes a new investment in quantum computing
A Yahoo Finance article by Faizan Farooque published November 12, 2026, reports that Advanced Micro Devices made a surprise investment related to quantum computing. The available article text does not identify the investment or give further details.
Microsoft will cover power costs for its AI data centers
Microsoft says it will pay the electricity costs for its AI and cloud data centers instead of shifting them to other power users or relying on government subsidies. The company plans to invest $117 billion in computing capacity this year. Microsoft, Chevron and Joule are also developing Project Kilby, a behind-the-meter power and data center project in West Texas, but Texas has paused approvals for new data centers. Chevron aims to bring the project online by 2028, with full operation planned for 2031. Its partners say the project could bring jobs and steady tax revenue to local communities.
Investors see recycling opportunity in AI data center boom
AI data centers need more raw materials, and investors are looking at recyclers as a possible opportunity. Tazia Smith, CEO of Closed Loop Capital Management, spoke with Business Insider's Dan DeFrancesco on Wednesday. The article identifies Truman Dickerson as Business Insider's Weekend News Fellow, based in New York City.
Qvyon raises $8 million to test physical AI more safely
Qvyon launched with $8 million in funding led by MaC Venture Capital, with BDC Capital, BKR Capital and Spotlight VP also participating. Its Mimic Core platform turns real camera, lidar and radar recordings into 3D simulated environments and varied test scenarios for robots and other physical AI systems. This lets teams find problems before machines enter real-world use, without repeatedly collecting field data. Mimic Core is available through Qvyon Cloud with a 14-day guided evaluation, or as software hosted by customers. Qvyon plans to use the funding to expand in the United States, Europe and Japan, and is developing two more products for release in 2027.
SoundHound AI earns Leader and Star Performer honors from Everest Group
Everest Group named SoundHound AI a Leader and Star Performer in its 2026 assessment of conversational AI and AI agents for customer experience management. The Star Performer title recognizes strong year-over-year improvement. SoundHound CEO Keyvan Mohajer said the company launched OASYS in May and OASYS Edge in September to help businesses build and run AI agents in the cloud, on devices, or both. Everest Group highlighted the platform’s voice-based AI, workflows, safety controls and human support. SoundHound says its agent Emily has supported more than 2.2 million patient calls for MUSC Health, while agents at Quálitas handle about 100,000 calls a month and resolve more than 74% of car assistance requests.
Ranmore sees AI investment demand nearing its limit and finds value in Asia
Sean Peche, founder and portfolio manager at Ranmore Fund Management, said major AI-related listings and fundraisings may mean investor demand for the theme is close to exhausted. He pointed to SpaceX’s planned $1.8 trillion listing in June, Anthropic’s pending listing at about $1.5 trillion, and large capital raises by SpaceX, Alphabet, Intel and Meta. Peche also said OpenAI raised $11 billion of a planned $30 billion in late October at a lower valuation than it had sought. He argued that investors chasing AI have created bargains in other markets, especially Asia, and compared Spotify at about 39 times adjusted earnings with Tencent Music Entertainment at an estimated six times earnings after accounting for cash and investments.
CoreWeave’s strong growth offers hope for AI stocks
CoreWeave reported third-quarter revenue of $3.66 billion, up 168%, while its adjusted operating margin doubled from the previous quarter to 10%. The company is recontracting older GPUs at prices 30% to 50% higher, which could add up to $10 billion in annualized revenue outside its backlog without extra capital spending. It increasingly uses investment-grade financing and customer prepayments, though interest costs equal 23% of revenue. At about $34 billion, CoreWeave trades at 1.7 times exit annual recurring revenue and about 5.8 times run-rate EBITDA, with a $132.5 billion backlog.
BingX reports a sharp rise in AI trading tool use
BingX said daily requests to its AI Skills Hub rose from about 2.85 million to 30 million in five months. The API toolkit lets traders query market data, place orders, and manage accounts using conversational prompts without manual coding. In an article published October 30, 2026, Chief Strategy Officer Kevin Lee described how AI tools are becoming part of everyday trading and expanding into third-party applications. BingX says human judgment remains central, with confirmation steps and safeguards supporting traders’ decisions.
Mellody Hobson warns Wall Street echoes the dot-com era
Investor Mellody Hobson, a former chair of the Chicago Stock Exchange, compared today’s market to the late 1990s, when investors took on high risks amid strong optimism. Her comments come as investors anticipate a possible IPO from AI research company Anthropic. Hobson said today’s excitement about AI recalls the dot-com bubble, when investors paid high prices for companies with little or no earnings. She warned that the market may be less solid than it appears and urged investors not to get swept up in the hype.
Sources
- Tech giant Foxconn beats forecasts with third-quarter profit jump
- Foxconn Maintains Strong Earnings Growth on Resilient AI, Tech Hardware Demand
- Foxconn Maintains Strong Earnings Growth on Resilient AI, Tech Hardware Demand
- Nvidia's $164 billion AI strategy faces an unexpected threat
- AMD makes surprise quantum computing move with new investment
- Microsoft to Absorb AI Power Costs Itself, Rejects Shifting Burden to Communities Under $117 Billion Investment
- AI data centers need raw materials. Investors are betting on recyclers.
- Qvyon launches with $8M to improve safety for physical AI deployments
- SoundHound AI Named a Leader and a Star Performer in Everest Group’s Conversational AI and AI Agents in CXM Products PEAK Matrix® Assessment 2026
- Is investor appetite for AI running out? Why Ranmore is turning to Asia
- CoreWeave May Have Just Saved AI Stocks
- BingX highlights surge in AI Skills Hub usage, reinforcing human-centered trading
- Mellody Hobson Says Wall Street Is Partying Like It’s 1999 Again
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