Nvidia expects third-quarter revenue of 108 billion: beating forecasts
The semiconductor giant forecasts revenue of $108 billion, with a margin of plus or minus 2 per cent, compared with the average forecast of $104.19 billion by analysts, according to LSEG data
Nvidia is forecasting third-quarter revenues to exceed Wall Street expectations, confirming, for now, that demand for chips for artificial intelligence from major technology groups remains strong.
The semiconductor giant estimates a turnover of 108 billion dollars, with a margin of plus or minus 2 per cent, compared with the 104.19 billion predicted on average by analysts according to LSEG data. In its guidance, Nvidia states that it has not included any sales of data centre chips to China.
The group’s results are seen as an indicator of the health of the AI market, as Nvidia processors power the majority of major data centres and the most advanced AI models.
However, Nvidia’s leadership faces growing competition. Major technology groups are developing proprietary chips to reduce their reliance on expensive Nvidia processors, whilst Intel, AMD and Chinese firms are focusing primarily on the ‘inference’ market – the stage at which AI models are used to respond to requests and automate tasks.
Nvidia is also strengthening its offering in this area and is focusing on the new Vera Rubin platform. The company estimates that the revenue opportunity associated with its artificial intelligence chips could exceed 1,000 billion dollars by 2027.
