I couldn't find any details on how the AI produced new generations of humans to fill their tanks. Did they use in vitro technology - but then where are the farming labs located?
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There are fields, Neo, endless fields where human beings are no longer born...we are grown
Humans aren't fertilised any more. The Machines use a system of artificial wombs to make new humans which they then insert into the Matrix once they're old enough.
Based on concept art, the 'fetus fields' are pretty close to the location of the Power Plant towers.
