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Flex to Invest $1 Billion in Mexico to Build Data Center and AI Hardware

The move positions Mexico to climb in advanced manufacturing for AI hardware.

Overview

  • Flex, which announced the plan Thursday at Mexico’s presidential morning briefing, will spend $1 billion between 2026 and 2028 to make equipment for data centers and artificial intelligence.
  • Production will center on Guadalajara, Aguascalientes, and Ciudad Juárez, with about 5,000 new jobs for engineers, technicians, and skilled operators.
  • Company leaders called it Flex’s largest commitment in Mexico, noting an existing footprint of eight plants, roughly 40,000 workers, and $2.3 billion invested over the past decade.
  • Flex warned the new lines and testing will use heavy power, estimating electricity needs about seven times those of the Port of Manzanillo, which puts energy supply and permits in sharp focus.
  • Officials said the project could lift Mexico into a small group of countries that build this gear and widen local supply chains, where only about 8% to 15% of electronics inputs are now sourced domestically.