Artificial intelligence server company Super Micro Computer Inc (NASDAQ:SMCI) and Taiwan’s Guo Rui announced on Wednesday their plans to establish a renewable-energy-powered computation center in Taiwan, the Taipei Times reports.

Following discussions with Supermicro founder Charles Liang and Guo Rui chairman Lin Po-wen, Premier Cho Jung-tai instructed the formation of a cross-ministerial task force to promote renewable energy and facilitate land acquisition for green power projects, Executive Yuan spokesperson Michelle Lee told the TT.

In a separate announcement to the TT, Nvidia Corp (NASDAQ:NVDA) revealed plans to establish a secondary headquarters in Taiwan, matching the scale of its Silicon Valley operations.

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National Development Council Minister Paul Liu highlighted to TT Taiwan’s robust talent pool, infrastructure, and proximity to supply chains as key factors that could contribute towards the country becoming a global hub for AI development.

Taipei Mayor Chiang Wan-an and New Taipei City Mayor Hou You-yi expressed their commitment to attracting Nvidia’s new headquarters to the TT.

New Taipei City offered a portfolio of potential sites and incentives to secure the investment. Supermicro is also a key Nvidia client.

Reportedly, Nvidia supplier Taiwan Semiconductor Manufacturing Co (NYSE:TSM) is considering five factories in the heavy industrial city of Kaohsiun in Taiwan. The first plant will likely start commercializing by 2025 or a year later.

The chipmaker’s expansion has prompted the city government to set up water recycling plants and ultra-high-voltage substation facilities to ensure a stable water and power supply.

In December, Taiwan Semiconductor showcased its advanced chip fabrication plant debut in Arizona, marking U.S. attempts to reduce dependence on China as a semiconductor supply chain.

The company targets two additional fabs in Arizona, bringing its total investment to $65 billion.

Price Actions: At last check on Friday, SMCI stock was down 5.00% to $32.06. NVDA is down 2.62%.

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