Chipmaker Nvidia (NVDA) will invest $1 billion to build a green data center in Nuevo León, Mexico. The state’s governor, Samuel Garcia, announced this news on X. Indeed, Garcia described Nvidia as “the most important company in software and Artificial Intelligence” and said that its arrival is a major step forward for the region. He also shared plans to create a new government office focused on investment, innovation, and AI in order to attract more tech companies and similar high-value projects to the state.
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The announcement comes as major tech firms continue to invest heavily in data centers all over the world. For instance, Google (GOOGL) and Microsoft (MSFT) recently announced a combined $16.41 billion investment in Europe, as Google builds new data centers in Germany while Microsoft builds in Portugal. These moves show how tech companies are rushing to secure the infrastructure needed to handle AI growth, and Nvidia’s expansion into Mexico shows that this trend is spreading to new regions.
For Nuevo León, Nvidia’s project could turn the state into a growing technology hub in Latin America. The green data center will not only strengthen the local economy but also help it meet global sustainability goals. As countries around the world compete to attract AI-related investments, Nvidia’s presence could give Mexico more credibility going forward.
What Is a Good Price for NVDA?
Turning to Wall Street, analysts have a Strong Buy consensus rating on Nvidia stock based on 37 Buys, one Hold, and one Sell assigned in the past three months, as indicated by the graphic below. Furthermore, the average Nvidia price target of $238.29 per share implies 23.6% upside potential.
