Apple (NASDAQ:AAPL) and Foxconn (2354.TW) are at the center of a fresh AI-driven rebound that is reshaping hardware demand now and accelerating data-center investment longer term. Foxconn reported Q3 net profit of $1.89 billion, a 17% jump, and teased an OpenAI announcement that could clarify its move into AI servers. Apple’s policy shift under the EU Digital Markets Act — and its claim that lower developer fees didn’t cut consumer prices — matters for app economics today and for platform regulation across the US, Europe and Asia. Meanwhile, Nvidia (NASDAQ:NVDA) volatility, AMD (NASDAQ:AMD) data‑center targets and surging hyperscaler capex are driving global demand for servers, chips and cooling capacity.
Foxconn’s AI server surge: results, guidance and an OpenAI tease
Foxconn’s Q3 beat was unmistakable. The Taiwanese conglomerate posted third‑quarter net income of $1.89 billion, up 17% year‑over‑year. Management said AI server demand powered profits and expects AI server revenue to rise quarter‑on‑quarter into Q4. The company also forecast year‑on‑year revenue growth for the full year, reinforcing its pivot beyond smartphones into enterprise AI hardware.
Market moves followed. Foxconn shares have climbed roughly 36% year‑to‑date and rose 1.8% on the day of the earnings release. The firm signaled tighter ties with leading AI customers, noting production for Nvidia (NASDAQ:NVDA) and Amazon (NASDAQ:AMZN) AI servers. It also teased a major collaboration announcement with OpenAI at an upcoming Tech Day — a development scheduled for next week that market participants will watch closely for details on manufacturing scope or custom server designs.
What this means in the short term: demand for rack servers, AI accelerators and high‑density cooling is accelerating now as hyperscalers and cloud providers add capacity. Over the long term: if Foxconn scales AI server production, the supply chain could shift more volume into Taiwan and regional manufacturing hubs in Asia and beyond, altering capex flows for chassis, power delivery and liquid cooling vendors.
Apple, EU rules and platform economics: fees, distribution and user prices
Apple (NASDAQ:AAPL) has publicly pushed back on the effects of the EU’s Digital Markets Act. The company said a study it commissioned from Analysis Group found that lower developer fees and the ability for developers to distribute apps outside the App Store did not reduce prices for EU users. The Digital Markets Act had forced changes last year, including an option for developers to opt out of Apple’s in‑app payment system, which charges commissions of up to 30%.
Apple’s argument touches two timely points. In the short run it frames the public debate over whether regulatory fixes translate into consumer savings. In the long run it influences how platforms design marketplaces in the US, Europe and Asia — and how regulators measure consumer welfare. RiverPark’s Q3 review also put Apple among top performers for the period, alongside Alphabet and Nvidia, highlighting investor focus on companies that can monetize AI and subscription ecosystems.
However, the EU dynamic feeds into broader trends. If developers keep prices steady, margins could improve for app makers. If not, consumers might eventually see lower app prices in highly competitive categories. Either outcome will shape business models for mobile apps across emerging markets and mature economies.
Chipmakers, hyperscalers and the wider data‑center ripple
The Foxconn and Apple headlines sit inside a broader cycle of AI infrastructure spending. AMD (NASDAQ:AMD) has laid out aggressive targets, including a long‑term aim for substantial data‑center revenue and comments that the AI data‑center market could expand toward the trillion‑dollar range by 2030. After its analyst day, AMD said it expects data‑center revenue to ramp meaningfully and outlined goals that helped lift its stock.
Nvidia (NASDAQ:NVDA) continues to dominate headlines. SoftBank’s recent $5.8 billion sale of Nvidia shares briefly rattled the market, and Nvidia-related volatility showed up in intraday moves across chip stocks. Yet Nvidia still sits at the center of AI compute demand: reports note record ownership and continued procurement by cloud providers. The company also announced an intention to invest in new data‑center capacity, including a projected $1 billion AI data‑center build in northern Mexico.
On the foundry and systems side, GlobalFoundries (NASDAQ:GFS) reported Q3 revenue of $1.688 billion, a gross margin near 24.8%, and net income of $249 million with diluted EPS of $0.44. Management expects continued strength from automotive and data‑center clients. Meanwhile, hyperscalers are expanding capex: Microsoft (NASDAQ:MSFT) announced a major AI data‑center investment in Portugal pegged at more than $10 billion, and its fiscal capex rose sharply as it scales global capacity.
These moves create near‑term demand for chips, servers and power/cooling infrastructure across the US, Europe and Asia. Longer term, the shift tightens the link between semiconductor roadmaps, data‑center siting decisions and energy delivery upgrades — including new liquid‑cooling deployments and power distribution projects.
Key takeaways
- Foxconn’s AI push is measurable: Q3 net profit $1.89B (up 17%) and the company signaled rising AI server revenue q/q.
- Apple says EU fee changes haven’t lowered consumer prices; in‑app commissions remain as high as 30%, keeping platform economics under scrutiny.
Market context remains important. On the day of these reports the Nasdaq lost early gains and was down about 0.3% after opening higher, while the S&P 500 rose 0.1% and the Dow gained roughly 400 points, or 0.8%, as traders weighed corporate earnings and a looming House shutdown vote. Stock stories from Foxconn to AMD to Nvidia illustrate how earnings, regulatory shifts and hyperscaler capex are interacting now to reshape where and how compute gets built worldwide.
For readers tracking the space, next‑week announcements — notably Foxconn’s teased OpenAI update and hyperscaler capex disclosures — will be the immediate items to watch for clarity on production timelines and partnership scopes.
