Nvidia posts record annual revenue of $215.9 billion, equal to £159.1 billion. The company defies investor concerns over heavy spending on artificial intelligence. In the final quarter, sales rise 73% year on year, far exceeding analyst forecasts.
CEO Jensen Huang highlights the explosive demand for computing power. Computing demand is growing exponentially, he says. Customers rush to expand AI compute infrastructure. He calls these systems the factories of the AI industrial revolution. Huang links them directly to long-term business growth.
Nvidia Strengthens Its Lead in AI Infrastructure
Nvidia becomes the world’s most valuable publicly traded company, with a market value near $4.8 trillion. The company drives global AI development, supplying advanced chips to developers including OpenAI and Meta.
Gene Munster of Deepwater Asset Management predicts continued growth. AI is advancing faster than most people realize, he writes on X. He notes that users of AI tools understand the pace of change better than outside observers.
Investors continue to monitor Nvidia’s expanding network of deals. Critics warn about potential circular financing, suggesting investments in partners may overstate real AI demand. Nvidia points to strong orders and sustained client interest.
Geopolitical Tensions Affect China Revenue
Nvidia navigates US-China tensions that shape chip sales. Its latest guidance does not include detailed revenue projections for China. Last month, the US approved conditional sales of Nvidia’s H200 chips to Chinese customers. The H200 is Nvidia’s second-most advanced processor.
A US Commerce Department official informs lawmakers that no H200 chips have reached China yet. The announcement underscores strict export controls and geopolitical sensitivity.
Expansion Into Autonomous Vehicles and Robotics
Nvidia broadens its product portfolio to generate new growth. The company increases its presence in AI-powered physical products. At CES in Las Vegas, Huang unveils a platform for self-driving vehicles.
He introduces an open-source AI model called Alpamayo, designed to add reasoning capabilities to autonomous cars. Nvidia plans to launch a robotaxi service next year with an undisclosed partner.
While Nvidia dominates AI model training, it faces growing competition in inference computing. Inference applies trained AI models to real-world data for reasoning. In Q4, Nvidia acquires Groq for $20 billion, strengthening its inference expertise and reinforcing its market leadership.
