Nvidia and iPhone maker Foxconn have said they will build “artificial intelligence factories” together as the Taiwanese electronics manufacturer seeks to diversify its business.The announcement comes a day after the US said it was tightening rules on AI chip sales to China, in a blow to Nvidia and other companies selling high-performance semiconductors in the country.

Nvidia co-founder and chief Jensen Huang said on Wednesday that the $1.1tn chip group would set up “AI factories”, or large data centres, with Foxconn to train autonomous vehicles, robotics platforms and large language models.

Huang, wearing his trademark leather jacket, made an appearance at Foxconn’s annual tech day on Wednesday in Taipei. He joined Foxconn chair Young Liu on stage to talk about the “beginning of a new computing revolution”.