Chipmaker Nvidia posts $96.2bn quarterly revenue, doubling year-on-year
Nvidia reported second-quarter revenue of $96.2bn, a 106% increase from the same period last year and above analyst forecasts. Its data-center segment brought in $89bn, up 117% annually. CEO Jensen Huang said AI demand is accelerating and described the industry as entering a 'golden age'.
Nvidia's latest results underscore the scale of the AI infrastructure buildout, with data-center revenue alone reaching $89bn in the quarter. The company projects $108bn in third-quarter revenue, exceeding analyst estimates. To address concerns about the sustainability of AI financing, Nvidia has partnered with BlackRock, Blackstone, KKR, Apollo, Brookfield, and Goldman Sachs to assemble a $500bn capital pool, and has committed to constructing an 8GW data center in Ohio.
The earnings arrive amid a broader downturn in chip stocks, as investors question whether massive AI investments will yield returns. Critics have also pointed to the circular nature of financing arrangements between Nvidia and its largest clients. Despite these concerns, CEO Jensen Huang expressed confidence that customers will continue purchasing Nvidia's technology, describing the platform as spanning the entire AI lifecycle across every major cloud provider.
This earnings report may signal how rapidly AI infrastructure is expanding, which could carry significant energy and climate implications. Data centers consume substantial electricity and water, and an 8GW facility represents a major new load on regional power grids. Policymakers and utilities may need to accelerate clean-energy deployment to meet this demand, while communities near new facilities could face local environmental pressures. The scale of investment also suggests AI's physical footprint will keep growing, potentially complicating climate targets.