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Understanding Tomorrow’s Technology: AI Factories

Updated: Mar 3

✦ Today, whether we are working adults or young students, we can enjoy using generative AI such as ChatGPT to help us research for essay writing, create images to tell our stories, etc.

Tomorrow, every app on our phone could harness the power of generative AI, delivering personalised, real-time insights. This is possible with the technology of the future, AI Factories.


‘The Rise of the AI Factory’ in Singapore, Ronnie Vasishta, Senior Vice President for Telecom at NVIDIA, shared his insights about AI factories | Brilliant Online Australia Singapore UK | Brilliant Online

At a media briefing titled ‘The Rise of the AI Factory’ in Singapore, Ronnie Vasishta, Senior Vice President for Telecom at NVIDIA, shared his insights about AI factories. Along with supplementary information, here are the top things about this technological term:

1. What are AI factories?

AI factories are a new type of computing infrastructure that focuses on manufacturing intelligence through accelerated computing. Unlike traditional data centres, AI factories are designed to cater specifically to the demands of artificial intelligence. They enable the creation, processing, and distribution of advanced intelligence at scale.

2. How do AI factories differ from traditional data centres?

Traditional data centres are primarily designed to focus on information access, storage, and processing. On the other hand, AI factories are purpose-built facilities with hardware and software stacks tailored for generative AI. They allow the production of new intelligence and offer localised, trusted AI resources and data, which is a revolutionary way of manufacturing and distributing intelligence.

In AI factories, the term “localised” means that AI resources and data are customised or adapted to specific regions or localities. This means that the intelligence created by AI factories is not a one-size-fits-all solution, but rather tailored to meet the particular needs, preferences, and cultural nuances of different regions or user groups.

For example, localised AI resources may include language models that are trained on data from a particular region’s dialects or vernaculars. Similarly, localised AI data may consist of datasets collected from users or sources within a specific geographic area, ensuring that the intelligence generated by AI factories is relevant and meaningful to the local population.

3. Are telecommunications providers involved in AI factories? Why?

Telecommunications providers have a unique opportunity to spearhead the development of AI factories, given their financial resources and established trust with customers and governments. They can invest in transitioning or transforming data centres and provide essential national-level resources for regional intelligence contextualisation and deployment.

What is the AI Factor Opportunity Nvidia | Brilliant Online Australia Singapore UK | Brilliant Online

4. What opportunities do AI factories present for governments, enterprises, researchers, and startups?

AI factories offer unprecedented opportunities for various stakeholders. Governments can invest in national-level resources, enterprises can leverage localised intelligence for enhanced productivity, researchers can access vast datasets for innovative studies, and startups can pioneer new applications and services in the AI ecosystem.

5. How significant are AI factories in driving productivity and innovation?

AI Factories represent a transformative shift in computing, akin to the “iPhone moment” of AI, as NVIDIA’s CEO Jensen Huang described. By manufacturing intelligence at scale, AI Factories unlock untapped potential, driving productivity to new heights and fueling innovation across industries.

6. What role does regional intelligence contextualisation play in AI factories?

Regional intelligence contextualisation refers to the process of tailoring intelligence to meet the specific needs and preferences of users in different regions. This involves using local language and proprietary data from enterprises and researchers to enable more effective and personalised interactions with AI-powered systems.

During the World Governments Summit 2024 held in Dubai, Jensen emphasised the importance of every country owning the production of their own intelligence, which is known as sovereign AI. By doing so, the country gains ownership over its data and the intelligence it produces. “It codifies your culture, your society’s intelligence, your common sense, your history – you own your own data,” he said at the event attended by more than 4,000 delegates from 150 countries.

7. How do AI factories contribute to advancing artificial intelligence?

AI factories are the backbone of AI development. They provide the infrastructure needed for both training and inference. This infrastructure facilitates the creation of foundational models and their deployment in real-world use cases, which fosters innovation and accelerates the development of AI technologies. 

Sovereign AI Factor Trend Nvidia | Brilliant Online Australia Singapore UK | Brilliant Online

8. What is the future outlook for AI factories?

The potential of AI factories to revolutionise how intelligence is manufactured, distributed, and utilised is bright, and the future looks promising. As we continue to embrace this technological revolution, AI factories will play a crucial role in driving economic growth, enhancing productivity, and shaping the future of computing.

For insights into AI, check out Ronnie's report at It features responses from over 400 telecom professionals to NVIDIA's "State of AI in Telecommunications" survey.❋


Since its founding in 1993, NVIDIA (NASDAQ: NVDA) has been a pioneer in accelerated computing. The company’s invention of the GPU in 1999 sparked the growth of the PC gaming market, redefined computer graphics, ignited the era of modern AI and is fueling industrial digitalization across markets. NVIDIA is now a full-stack computing infrastructure company with data-center-scale offerings that are reshaping industry. More information at


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