By Nora Moriarty
Publication Date: 2026-08-27 10:00:00
NVIDIA president and CEO Jensen Huang discusses his company’s gross margins and rising costs in a preview of his interview with FOX Business host Liz Claman on ‘The Claman Countdown.’
Nvidia CEO Jensen Huang defended his decision to “rip the Band-Aid off” on the company’s gross margins as the chip giant continues to power some of the world’s most advanced artificial intelligence models.
The CEO addressed reports of potential 15% price hikes while touting the company’s job creation as Nvidia employs roughly 42,000 people worldwide.
“This quarter we decided that we would rip the Band-Aid off, reset expectations about our gross margins, and just explain to people that in fact, we have now absorbed the cost increases,” Huang said during an interview with “The Claman Countdown” that airs Thursday.
The Nvidia logo is displayed on a phone screen in this illustration photo taken in Krakow, Poland on July 19, 2023. (Jakub Porzycki/NurPhoto / Getty Images)
“We have also repriced our products in the marketplace, and based on that, our margins are going to come down from 75%. But it will be between 72% and 73% next year,” he continued. “And so, we’ve now reset the expectations and removed this anxiety that everybody had about our gross margins.”
Huang’s comments follow Nvidia’s blowout earnings report after the close Wednesday, which helped ease investor concerns…