Hon Hai, also known as Foxconn, Chairperson Liu Young-way (劉揚偉) says his company’s global market share in AI servers is now over 40%, and that it will aim to become the world leader in co-packaged optics (CPO). That came at Hon Hai’s annual shareholders’ meeting on Friday, May 29.

Liu said that 2025 was a pivotal year for Hon Hai and a milestone in its AI transformation. He said the company has been investing in the artificial intelligence sector for over a decade, and these efforts have produced results in recent years. The company’s revenue share from cloud and networking products rose to 40% this year from 20% in the past due to strong demand for AI servers. Liu also said Hon Hai’s global market share in the AI sector exceeded 40%.

Liu noted that Hon Hai will start shipping co-packaged optics switches this year, with an expected volume of 10,000 units. This technology uses photons instead of electrons to carry information, allowing for better power efficiency and network resiliency. The company expects the sales of CPO switches to grow several-fold next year.

Liu added that Hon Hai is also expanding into new business areas outside of artificial intelligence, including electric vehicles, robotics, and the space industry.

Hon Hai announced a record-high dividend of NT$7.2 (US$0.22), marking seven consecutive years of the payout ratio exceeding 50%.