Yahoo Finance Nvidia CEO Jensen Huang: We're building AI factories
It's hard to find a company that has gained more from the AI boom than Nvidia (NVDA). In the first quarter, the company posted a 262% rise in revenue. Its Data Center unit specifically saw its revenue soar 427% year over year to $22.6 billion. Why? Nvidia founder and CEO Jensen Huang says its because the company is basically making "AI factories." "These AI factories are essentially what we build. We build it as a holistic unit, as a holistic architecture and platform, but then we disaggregate it so that our partners could take it and put it into data centers of any kind," Huang tells Yahoo Finance in an exclusive interview.
When it comes to demand for these products, Huang claims it's "so strong," adding "Hopper demand grew throughout this quarter after we announced Blackwell, and so that kind of tells you how much demand there is out there. People want to deploy these data centers right now."
Be sure to check out the full interview with Nvidia CEO Jensen Huang.
This post was written by Stephanie Mikulich.
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Video Transcript
You said on the call a couple of times that you'll be supply constrained for both hopper and then Blackwell uh chips.
Well, until next year because of the vast demand that's out there.
Um What can you do about that?
Are there any sort of levers you can pull to help increase supply proper demand grew throughout this quarter after we announced Blackwell.
And so that kind of tells you how much demand there is out there.
People want to deploy these data centers right now.
They want to put our GP US to work right now and start making money and start saving money.
And so, so that that demand is just so strong.
Um You know, it, it's really important to take a step back and realize that what we build is not a GP U chip, we call it Blackwell and we call it GP U.
But we're really building A I factories.
These A I factories have CP US and GP US and really complicated memory.
The systems are really complicated.
It's connected by MV link, there's an MV link switch, there's in finan switches in Finan ni and then now we have Ethernet switches and Ethernet N and all of this connected together with this incredibly complicated spine called MV link.
And then the amount of software that it takes to build all this and run all this is incredible.
And so these A I factories are essentially what we build, we build it as a, as a holistic unit, as a holistic architecture and platform.
But then we disaggregate it so that our partners could take it and put it into data centers of any kind.
And every single cloud has slightly different architectures and different stacks.
And our, our stags and our architecture can now deeply integrate into theirs.
But everybody is a little different.
So we build it as an A I factory, we then disaggregate it so that everybody can have A I factories.
This is just an incredible thing and we do this at very hard, very high volume.
It's just very, very hard to do.
And so every, every component, every, every part of our data center is the most complex computer the world's ever made.
And so it's sensible that almost everything is constrained.
