MOEA approves Nvidia HQ investment on eve of Jensen Huang visit

Taipei, Jan. 28 (CNA) The Ministry of Economic Affairs (MOEA) said on Wednesday it has approved an application filed by American AI chip designer Nvidia Corp. to remit NT$3.3 billion (US$105 million) into Taiwan for an investment in a new headquarters.

The approval came just a day ahead of the scheduled arrival by Nvidia CEO Jensen Huang (黃仁勳), who is expected to attend a "Weiya" banquet slated for Friday. Weiya is a year-end dinner held by businesses before the Lunar New Year holiday, which begins on Feb. 14 this year.

The funds prepared by Nvidia will be used to raise the capital of Nvidia Iconic Taiwan Co. and the increased capital will be allocated for the development of the company's Taiwan headquarters, which will be located in Beitou Shilin Tech Park in Taipei, the MOEA's Department of Investment Review said in a statement.

Late last year, Taipei City Government terminated a contract giving the surface rights to Shin Kong Life Insurance Co. for the T17 and T18 lots of land in the science park, where the U.S. company wanted to build its Taiwan headquarters.

On Monday, the city government approved a plan to combine the two lots into one by eliminating a 15-meter wide road dividing the two parcels of land in a bid to give Nvidia a larger area for development. In addition, the city government also changed the use of the land as a special tech development section.

Other than attending Nvidia's Weiya in Taipei, Huang is also expected to meet with Taiwanese tech heavyweights at a second dinner banquet on Saturday including C.C. Wei (魏哲家), chairman of contract chipmaker Taiwan Semiconductor Manufacturing Co. (TSMC).

The Taipei City Government is hoping to sign an agreement on the company's headquarters witnessed by Huang during his stay in Taipei.

In addition to Nvidia's NT$3.3 billion plan, the MOEA also approved a NT$1.54 billion investment in Taiwan offshore wind energy development sector by U.K.-based Stonepeak Formosa 4-3 Holdings.

As for outbound investments, the MOEA said it has approved a US$500 million investment by PC brand Asustek Computer Inc. in its subsidiary Asus Global focused on sales of 3C products such as computer systems, motherboards, various board cards, tablets and smartphones.

The MOEA said it has also approved telecom service provider Taiwan Mobile Co. to invest US$90 million in PACM CPT Media in the British Virgin Islands, which will use the funds to invest in U.S.-based Paramount Skydance for global video publication. In addition, AI server and iPhone assembler Hon Hai Precision Industry Co. secured approval to remit a total of US$575 million overseas to expand production of computers, smartphones and other electronics items.

Meanwhile, the MOEA has also give the green light to CTBC Bank's investment of about US$63.85 million in consumer banking business in Xiamen, China.