Nvidia has cleared another towering earnings bar, turning relentless demand for AI infrastructure into record sales. But the same investments helping expand that market are reviving scrutiny over who, ultimately, is financing the boom.
The chipmaker’s latest quarter beat Wall Street expectations as sales of its high-end AI processors continued to surge, underscoring the durability of data-center spending.1 Revenue reached $96.2 billion, more than double the level a year earlier, while data-center revenue climbed 117% to $89 billion. Net income rose 126% to $59.7 billion.2
The next milestone may arrive quickly. Nvidia forecast $108 billion in revenue for its next reporting period, plus or minus 2%, putting it on course to surpass $100 billion in quarterly sales for the first time. CFO Colette Kress also said the company remained supply-constrained and could otherwise double revenue next year.2
That optimism lifted shares in after-hours trading, even as investors weighed Nvidia’s growing role in financing the ecosystem that buys its chips. The company has pursued investments and capital arrangements to support AI customers, including a backstop for an OpenAI data center, prompting warnings about circular financing.2
Nvidia’s leadership rejects that reading. Jensen Huang called investments in frontier AI labs a “once-in-a-generation opportunity,” adding that his “only regret” was not investing “more and sooner.”2 Kress acknowledged the criticism but argued the company sees it differently, citing customers whose technology, usage and traction are accelerating.2
Elon Musk amplified a related argument from Epoch AI Research: official U.S. GDP figures may miss much of Nvidia’s contribution, potentially understating growth by about 0.3 percentage points over the past year.
3 It is a bullish view of Nvidia’s economic footprint—and a reminder that the company’s gains now carry consequences well beyond its own balance sheet.
[1] Strong AI chip demand fuels Nvidia's Q2 results well beyond Wall Street's expectations — “Nvidia’s latest quarterly results once again blew past Wall Street’s expectations.”
[2] Nvidia projects 70% revenue growth in 2028 — Nvidia reported $96.2 billion in quarterly revenue and defended customer-support arrangements amid circular-financing concerns.
[3] @elonmusk on X — Retweeting Epoch AI Research’s claim that GDP growth has been understated by roughly 0.3 percentage points.