Nvidia Doubles Chip Sales
Nvidia projects chip sales will double in 2027 amid accelerating artificial intelligence demand.
Anonymous
Key Points
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Nvidia’s data-center business generated $89 billion in quarterly revenue, a 117% year-over-year increase, making it the primary driver of the company’s growth.
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Nvidia guided for approximately $108 billion in revenue in the current quarter and projected about 70% year-over-year growth for fiscal 2028, even though underlying customer demand could support closer to a doubling.
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Nvidia said it is partnering with AWS to deploy an additional 2 million GPUs during 2027 and 2028, illustrating the scale of demand from major cloud providers.
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Nvidia’s next-generation Vera Rubin platform has entered full production, with systems expected to begin shipping in fall 2026; Nvidia said preliminary benchmarks showed up to 3.7 times the inference throughput of the GB300 NVL72 on Qwen3-VL and up to 2.5 times on DeepSeek-R1.
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Public reports have not specified the baseline sales figures, product scope or methodology behind Huang’s projection that 2027 chip sales will double those of 2026, leaving the precise scale of the forecast unclear.
Nvidia CEO Jensen Huang predicted the company will double its chip sales in 2027, driven by surging demand for AI hardware from cloud providers, enterprises, and governments Yahoo Finance. The forecast sent Nvidia shares up more than 2% in premarket trading. The company's data-center business generated $89 billion in quarterly revenue—a 117% jump year-over-year—making it the engine of Nvidia's explosive growth Yahoo Finance.
However, Nvidia executives warned that limited high-bandwidth memory could prevent the company from fulfilling all customer orders through at least fiscal 2028 Yahoo Finance. Despite this supply constraint, the company guided for roughly $108 billion in current-quarter revenue and about 70% year-over-year growth for fiscal 2028, even though actual customer demand could support closer to a doubling Yahoo Finance.
Data Center Revenue Soars Past $89 Billion
Nvidia's data-center segment crushed expectations with $89 billion in quarterly revenue, representing a 117% year-over-year increase Yahoo Finance. This business line now drives the vast majority of the company's overall growth as AI adoption accelerates across industries. The surge reflects exploding demand for Nvidia's AI chips from hyperscalers and enterprises ramping up artificial-intelligence infrastructure Yahoo Finance.
AWS Partnership to Deploy 2 Million GPUs
Nvidia announced a major partnership with Amazon Web Services to deploy an additional 2 million GPUs during 2027 and 2028, underscoring the sheer scale of cloud-provider demand Yahoo Finance. The deal illustrates how aggressively major technology companies are betting on AI infrastructure buildout. These deployments will support AWS customers developing large language models and other AI applications Yahoo Finance.
Vera Rubin Platform Enters Full Production
Nvidia's next-generation Vera Rubin platform has entered full production, with systems expected to ship in fall 2026 Yahoo Finance. Early benchmarks show the new chip delivers up to 3.7 times the inference throughput of the current GB300 NVL72 on Qwen3-VL workloads and up to 2.5 times on DeepSeek-R1. The performance gains should further accelerate AI deployment across cloud and enterprise customers Yahoo Finance.
Supply Constraints May Limit 2027 Growth
Despite the optimistic 2027 doubling forecast, Nvidia warned that supply bottlenecks—particularly a shortage of high-bandwidth memory—could prevent the company from meeting all customer demand through fiscal 2028 Yahoo Finance. The constraint highlights a critical vulnerability: demand for AI chips now far outpaces Nvidia's ability to manufacture and deliver them. Huang emphasized that AI products should not reach markets unless their capabilities and safety can be properly verified Yahoo Finance.
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