Foxconn chairman Liu Yangwei stated on Wednesday that the company has met with OpenAI CEO Sam Altman at its headquarters to discuss potential collaboration, and plans to meet with NVIDIA CEO Jensen Huang later this month, prompting a strong market reaction.

As a result of this news, Foxconn's stock surged 8% on Thursday, marking a 21% increase year-to-date. Liu expressed high confidence in the long-term growth potential of the AI market, emphasizing that "the application of artificial intelligence has only just begun."

This development serves as the latest catalyst in the AI sector. Companies announcing collaborations with OpenAI or NVIDIA have seen significant stock price jumps recently: AMD's stock skyrocketed 24% following the announcement of a multi-billion dollar deal with OpenAI, while Broadcom also saw substantial gains after signing a similar agreement. TSMC's stock has surged 14% this month, reaching an all-time high due to anticipated collaborations with NVIDIA.

Foxconn has yet to disclose specific details regarding the collaborations, but the company is significantly shifting towards high-growth businesses, such as producing AI servers for tech giants like Amazon and NVIDIA.

In the second quarter, revenue from cloud and networking products, including AI servers, surpassed that of smart consumer electronics, becoming the main growth engine for the company. Foxconn anticipates that revenue from its AI server business will increase by over 170% year-on-year in the current quarter.