Nvidia has unveiled its latest artificial intelligence chip named Blackwell, which is set to hit the market this quarter and is already experiencing high demand. CEO Jensen Huang stated that customers, including tech giants like Amazon Web Services, Google, Meta, Microsoft, OpenAI, and Tesla, are eager to deploy data centers using Nvidia’s GPUs to start generating revenue and saving money. The Blackwell chips are expected to begin shipping in the second quarter, with production ramping up in the third quarter and data centers running on the chips by the fourth quarter.
In addition to the Blackwell AI chip, Nvidia is also facing a lawsuit concerning its current Hopper chip. Due to the overwhelming demand for its chips, Nvidia plans to release new generations annually instead of every two years. After the Blackwell chip, Huang announced that there will be another chip in the pipeline, indicating a faster pace of development for the company.
Nvidia reported a remarkable increase in first-quarter revenue, reaching $26.04 billion, a 262% rise from the previous year and surpassing analyst estimates. The high demand for Nvidia chips has led to a significant increase in the company’s stock price, with shares rising by 150% over the past 12 months and 92% year-to-date. The stock price exceeded $1,000 per share for the first time after the impressive quarterly report. To further capitalize on its success, Nvidia announced a 10-for-1 stock split and increased its quarterly dividend by 150%, demonstrating confidence in its future growth prospects.
Huang expressed optimism about Nvidia’s future growth, highlighting the Blackwell platform as a key component for driving generative AI at a trillion-parameter scale. The company’s strong financial performance and innovative chip technology position it for continued success in the AI market. With an increasing emphasis on annual chip releases and a commitment to meeting rising demand, Nvidia is poised for sustained growth and expansion in the AI industry.
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https://www.businessinsider.com/nvidia-demand-ai-chips-blackwell-hopper-ceo-jensen-huang-earnings-2024-5
:max_bytes(150000):strip_icc()/INV_NvidiaBuilding_GettyImages-1258974271-25bafd7ee7344fa5a81c929849b094fc.jpg?w=1200&resize=1200,0&ssl=1 "Nvidia Stock Hits Another Record High as AI Chip Excitement Returns")