Founder, CEO, and tireless Nvidia hype man Jensen Huang told attendees at the Goldman Sachs Communacopia + Technology conference on Thursday why his company\u2019s AI domination \u2014 and revenues \u2014 will continue its record-breaking growth streak through the end of next year.<\/p>\n
He can see the future. <\/p>\n
There\u2019s been endless hand-wringing over whether Nvidia\u2019s party will end as it faces increasing competition for GPUs and AI chips from all directions: the hyperscalers (Amazon, Microsoft, and Google, each building their own) and the AI labs (Anthropic and OpenAI, which are building their own), as well as from newly public competitor Cerebras<\/a> and startups such as Etched<\/a>.<\/p>\n \u201cMost people think Nvidia builds a chip. I mean, you need airplanes to ship what we build,\u201d Huang said, adding that the company continues to battle a perception from its early days. Nvidia invented the GPU, which back then were largely sold to consumers to improve PC gaming. \u201cOne GPU now is not $399. It\u2019s $8.5 million dollars. That\u2019s one GPU, all connected with NVLink, 2 million parts, right? 250,000 kilowatts. That\u2019s a GPU, and we ship thousands of them.\u201d<\/p>\n He added that orders for just one product, a computer system<\/a> that combines 36 Grace CPUs with 72 Blackwell GPUs, is currently experiencing 27% month-to-month sales growth.<\/p>\n Huang didn\u2019t limit his bullish view to current sales though. He took the opportunity to reiterate Nvidia\u2019s revenue outlook for next year \u2014 guidance the company provided last month<\/a> when it reported yet another record-breaking revenue quarter. That\u2019s when he first said revenue could grow by 70% next year.<\/p>\n \u201cI think we could grow 70% year over year. We\u2019re confident about that,\u201d Huang said again on Thursday. Analysts expect the company to end its current fiscal year at about $400 billion in revenue. So 70% growth would mean around $680 billion next year. <\/p>\n Huang explained why he\u2019s confident: His company is so embedded in every area of AI that he believes he can see the future.<\/p>\n \u201cNvidia runs every model. Every single lab can use us,\u201d the CEO said, mentioning that this includes models from Anthropic, OpenAI, and Google, as well as open-weight offerings. \u201cWe are a foundational platform of the AI ecosystem, foundational platform of the AI industry.\u201d<\/p>\n Nvidia\u2019s fingers extend all the way from its suppliers, such as memory chip makers, to data center projects and startups. <\/p>\n \u201cWe\u2019re tracking every single gigawatt of land, power, shell around the world. Literally everything on the planet,\u201d he said. (\u201cShell\u201d refers to the shell of a data center building before it is outfitted with computers).<\/p>\n \u201cI mean, just think about all my partners. How many neoclouds are reporting back to us? How many OEMs are reporting back to us? How many clouds are reporting back to us? How many AI-native companies are reporting back to us? We\u2019re working with everybody, and so we kind of know where everything is,\u201d he said.<\/p>\n That comment led to inevitable questions about Nvidia\u2019s so-called circular deals, in which it invests in companies that turn around and buy its wares. Such schemes famously contributed to the downfall of a previous generation of internet build-out suppliers like Lucent Technologies<\/a>.<\/p>\n Huang had a simple, albeit cheeky, response. \u201cWell,\u00a0it\u2019s not circular because we put a little bit of money in, and a lot of money comes back.\u201d He went on to joke, \u201cI look at the spreadsheet, we put in $1 and $100 comes back in. Is that circular? If that is, let\u2019s do more of that.\u201d<\/p>\n Quips aside, he insisted that before any of these companies gets an investment, Nvidia makes sure it has real contracts generating revenue from customers. All told, he said he\u2019s seen $100 billion worth of such contracts, \u201cI\u2019m not taking any risks. \u2026 I need a sure thing.\u201d<\/p>\n Time will tell whether Nvidia\u2019s stronghold on AI can really persist long term. If there\u2019s one golden rule of the tech industry, it\u2019s that all big things get disrupted. Right now, even Huang admits that much of AI\u2019s growth is coming from AI-native startups that are raising vast sums and spending most of that cash on their own AI use. As the AI industry matures, expect companies to become more efficient in how they use infrastructure and tokens.<\/p>\n But for now, Nvidia has its finger in every pie and sees another year of plenty in its future.<\/p>\n