Arabic version: نفيديا تسجل إيرادات قياسية على الرغم من مخاوف الاستثمار في الذكاء الاصطناعي
Chipmaker Nvidia reported its fourth quarter revenue jumped by 73% compared to the same period a year ago to $68.1 billion (£50.2 billion) – a record haul for the company. The revenue figures beat analyst expectations and come amid a wave of investor scepticism towards the massive amounts of capital being spent on artificial intelligence (AI) technology. According to BBC News, boss Jensen Huang said, “Computing demand is growing exponentially. Our customers are racing to invest in AI compute — the factories powering the AI industrial revolution and their future growth.”
In the past fiscal year, Nvidia reported total annual revenue of $215.9 billion and has projected a rosy outlook for the months ahead. With a market capitalization of around $4.8 trillion, Nvidia is currently the world’s most valuable publicly traded company, playing a crucial role in the buildout of AI infrastructure by supplying sophisticated chips to leading AI model developers including OpenAI and Meta.
Despite its success, Nvidia has been scrutinised by investors who worry about its ever-expanding web of deals with other companies. Critics have raised the spectre of “circular financing” deals in which investments by Nvidia in other companies may be clouding perceptions about how robust AI demand really is.
Additionally, the company has been caught in a geopolitical tug-of-war between the US and China. Last month, the Trump administration began allowing Nvidia to sell its H200 chips to Chinese customers under certain conditions, but this week, a US Commerce Department official told lawmakers that none of those chips have yet been sold to Chinese customers. Nvidia is also expanding its own product line in a bid to have more involvement in the physical products in which AI is embedded. Last month at the CES technology trade show in Las Vegas, Huang unveiled a new tech platform for self-driving cars. Huang said the open-source AI model, which the company is calling “Alpamayo,” will bring reasoning to autonomous vehicles.
To enhance its capabilities, Nvidia acquired rival Groq in a $20 billion deal that aims to expand its expertise in inference, the process whereby a trained model is applied to real-world data to generate answers through reasoning. As competition in the AI sector intensifies, Nvidia continues to expand its role in the industry.
