\n<\/p>\n
Nvidia continued its years-long streak of beating Wall Street\u2019s expectations for growth on Wednesday, reassuring most investors that the AI boom, particularly the global explosion of datacenters, will continue apace.<\/p>\n
\u201cThe buildout of AI factories \u2013 the largest infrastructure expansion in human history \u2013 is accelerating at extraordinary speed,\u201d said Nvidia\u2019s CEO, Jensen Huang, in a statement. \u201cAgentic AI has arrived, doing productive work, generating real value, and scaling rapidly across companies and industries.\u201d<\/p>\n
Many analysts view Nvidia\u2019s financial performance as a broader referendum on the AI buildout. The most valuable company in the world, Nvidia, with a $5.4tn market cap, reigns supreme in the semiconductor chip market and has cashed in on big tech\u2019s AI aspirations by providing key components, software and infrastructure to fuel that expansion. US tech giants are collectively planning to spend some $750bn this year on AI infrastructure, a significant portion of which will go towards chips for datacenters. Huang said on Wednesday that he expected Nvidia would grow faster than the capital expenditure of hyper-scaled datacenters.<\/p>\n
A major portion of Nvidia\u2019s revenue comes from its datacenter business. On Wednesday, the chip maker reported 92% year-over-year growth of this vertical to a record $75.2bn. The company is facing some competition in producing chips from other tech giants, though, such as Amazon and Google.<\/p>\n
Still, Nvidia blew past analysts\u2019 expectations of $78.86bn in revenue for the first quarter of 2026, securing $81.62bn for the quarter. The chip maker also exceeded Wall Street expectations of $1.76 per share and reported earnings of $1.87 per share.<\/p>\n
Huang joined Elon Musk and Donald Trump on Air Force One for a trip to China last week. Huang has expressed some hope that Nvidia will be able to expand into China, although it was unclear whether Chinese officials will agree to use American technology. In December, the Trump administration allowed Nvidia to export H200 AI chips to China, with the US collecting a 25% fee on these sales. \u201cThe Chinese government has to decide: how much of their local market do they want to protect?\u201d Huang said in an interview last week with Bloomberg Television. \u201cMy sense is that over time the market will open.\u201d Nvidia said in its outlook on Wednesday that it was not currently expecting datacenter compute revenue from China.<\/p>\n
Nvidia\u2019s CFO, Colette Kress, reiterated on Wednesday\u2019s earnings call that Nvidia has not generated any revenue from sales of these chips to China and that it is unclear whether any imports will be allowed into the country. Sales of the company\u2019s chips there have been in limbo. Trump has approved sales of Nvidia\u2019s chips in China but said that Xi Jinping had blocked them.<\/p>\n
Nvidia was also trying to expand its footprint in south-east Asia. On Wednesday, Singapore announced that Nvidia will be launching a research hub in the country, focused on increasing the efficiency of AI infrastructure.<\/p>\n
Nvidia announced a new AI system earlier this year, which is expected to roll out in the second half of 2026. The chip maker has claimed that the Vera Rubin platform will be a \u201cgenerational leap\u201d that\u2019s going to be \u201ckicking off the greatest infrastructure buildout in history\u201d.<\/p>\n
\u201cMy sense is we will be supply-constrained throughout the entire life of Vera Rubin,\u201d Huang said on Wednesday.<\/p>\n
The CEOs of OpenAI and Anthropic have said Nvidia\u2019s infrastructure \u2013 and ability to keep pace \u2013 was key for their ability to run powerful models safely and at scale.<\/p>\n
\u201cThe world is rebuilding computing for agentic AI and robotic physical AI. Nvidia sits at the center of these transitions,\u201d Huang said.<\/p>\n","protected":false},"excerpt":{"rendered":"
Nvidia continued its years-long streak of beating Wall Street\u2019s expectations for growth on Wednesday, reassuring most investors that the AI boom, particularly the global explosion of datacenters, will continue apace. \u201cThe buildout of AI factories \u2013 the largest infrastructure expansion in human history \u2013 is accelerating at extraordinary speed,\u201d said Nvidia\u2019s CEO, Jensen Huang, in<\/p>\n","protected":false},"author":1,"featured_media":49620,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[49],"tags":[5819,9725,710,2624,3393,7354,5577,1276,2339],"class_list":{"0":"post-49619","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-business","8":"tag-accelerates","9":"tag-blows","10":"tag-boom","11":"tag-expectations","12":"tag-nvidia","13":"tag-nvidias","14":"tag-revenue","15":"tag-street","16":"tag-wall"},"_links":{"self":[{"href":"https:\/\/naijaglobalnews.org\/index.php?rest_route=\/wp\/v2\/posts\/49619","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/naijaglobalnews.org\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/naijaglobalnews.org\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/naijaglobalnews.org\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/naijaglobalnews.org\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=49619"}],"version-history":[{"count":0,"href":"https:\/\/naijaglobalnews.org\/index.php?rest_route=\/wp\/v2\/posts\/49619\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/naijaglobalnews.org\/index.php?rest_route=\/wp\/v2\/media\/49620"}],"wp:attachment":[{"href":"https:\/\/naijaglobalnews.org\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=49619"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/naijaglobalnews.org\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=49619"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/naijaglobalnews.org\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=49619"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}