Taiwan’s Economic Daily News reported that SpaceX has commissioned Foxconn (Hon Hai) to manufacture the first batch of AI server racks equipped with NVIDIA GB300, with an order value as high as $52 billion. However, SpaceX CEO Elon Musk later responded on the X platform, saying the related report is “false news.”
Taiwan media report and Musk’s “false news” response: what happened and both sides’ claims
According to a report by Taiwan’s Economic Daily News, the GB300 AI server order that SpaceX placed with Hon Hai for manufacturing will break the long-standing dominance of Dell and Supermicro and is seen as the final piece needed to complete Hon Hai’s lineup of global major cloud service provider (CSP) customers.
Musk responded to the related report on the X platform with “This is false news,” shortly after the report was published. Hon Hai said it would not comment on specific customers or order developments and only emphasized that order intake for its AI server business is strong, with visibility better than expected, while maintaining an optimistic outlook for the full year.
Rumored order details: $4 million per rack, shipments starting from 2026 Q4
Based on the order details presented in Economic Daily News’ report (whether the order exists or whether the data is accurate still needs clarification):
Unit price per rack: about $4 million
Total quantity: about 13,000 AI server rack units
Number of GPUs covered: about 936k NVIDIA GPUs
Shipping schedule: expected from 2026 Q4 to 2027 Q1
Total order value: $52 billion (about TWD 1.7 trillion)
Hon Hai chairman Liu Yang-wei previously estimated that the company’s global AI server market share in 2026 would exceed 40%. Analysts noted that this estimate does not include the rumored order.
Hon Hai financial background: Q1 EPS of 3.56 yuan, Industrial富联 Q2 net profit up more than 86% year over year
No matter what the final outcome is for the SpaceX order rumor, the financial figures Hon Hai has already released are as follows: Hon Hai’s after-tax net profit for 2026 Q1 reached TWD 936k, up 10% quarter over quarter and 19% year over year, with EPS of TWD 3.56. Industrial富联 (Industrial富联) is expected to report Q2 net profit attributable to the parent company of RMB 12.8 billion to RMB 13.8 billion, up 86% to 101% year over year.
For the CPO business, Industrial富联, as the current sole manufacturing and design partner for NVIDIA’s full-optical CPO switches, completed delivery of the first batch of equipment cabinets by the end of May. Its shipment target has been raised significantly—from the original full-year plan of 100,000 units to more than 50,000 units over the combined two-year period of 2026 to 2027. The CPO switch gross margin is in the double digits (traditional server ODM gross margins are typically 5% to 8%). Analysts estimate that in 2026, the CPO business will contribute more than 15% of Industrial富联’s revenue.
FAQ
Why are the SpaceX–Hon Hai order numbers reported by Economic Daily News?
According to the report by Economic Daily News, the order size is about $52 billion (about TWD 1.7 trillion). It is said to cover about 13,000 AI server rack units (about $4 million per rack) and 936k NVIDIA GPUs, with shipments expected from 2026 Q4 to 2027 Q1.
What did Musk say in response to this report?
Musk directly responded on the X platform to the related report from Economic Daily News by saying “this is false news.” It is currently not possible to confirm whether the order does not exist or whether the data is incorrect; the official subsequent statements should be taken as the reference.
How did Hon Hai perform financially in 2026 Q1?
Hon Hai’s after-tax net profit for 2026 Q1 reached TWD 936k, up 10% quarter over quarter and 19% year over year, with EPS of TWD 3.56. Industrial富联 is expected to see Q2 net profit attributable to the parent company rise 86% to 101% year over year.
