Nvidia CEO Jensen Huang ruled out on Wednesday (27) concerns about a possible end of artificial intelligence spending boom, projecting opportunities to expand to a market of several trillion dollars over the next five years.
Huang sought to reassure investors concerned about indications of slowdown in chip manufacturer’s growth. At the beginning of the day, Nvidia predicted that third trimester revenue would meet analysts estimates, but would fall short of expectations that made the price of their shares advance about one third this year.
“A new industrial revolution has begun. The AI race started,” said Huang. “We see $ 3 trillion to $ 4 trillion in AI infrastructure spending by the end of the decade.”
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Expectations regarding the demand of large technology companies, data centers and China owners are boosting the actions of the chip manufacturer.
Huang based his forecast, in part, at $ 600 billion he expects for data centers investments this year from major customers such as Microsoft and Amazon.
For a data center that costs up to $ 60 billion, Nvidia can capture about $ 35 billion, Huang said.
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Huang’s lines contrast with one, slightly above an average of US $ 53.14 billion from LSEG -compiled analysts estimates.
Nvidia and Huang, however, see few reasons why Ia decelere’s profit growth, as the second trimester net profit exceeded the third trimester of Apple, its competitor in the technology sector.
