
Nvidia sales surge in the fourth quarter on demand for AI chips
Nvidia on Wednesday reported a surge in fourth-quarter profit and sales as demand for its specialized Blackwell chips which power artificial intelligence systems continued to grow.
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For the three months that ended Jan. 26, the tech giant based in Santa Clara, California, posted revenue of $39.3 billion, up 12% from the previous quarter and 78% from one year ago. Adjusted for one-time items, it earned 89 cents a share.
«Demand for Blackwell is amazing as reasoning AI adds another scaling law — increasing compute for training makes models smarter and increasing compute for long thinking makes the answer smarter,» Nvidia Founder Jensen Huang said in a statement.
Wednesday's earnings report topped Wall Street expectations. Analysts had been expecting adjusted earnings of 85 cents a share on revenue of $38.1 billion, according to FactSet.
The fourth-quarter earnings are the company's first report since Chinese company DeepSeek boasted it had developed a large language model that could compete with ChatGPT and other U.S. rivals, but was more cost-effective in its use of Nvidia chips to train the system on troves of data.
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