Nvidia has reported a sharp rise in revenues, driven by surging global demand for its AI computing infrastructure, even as the company grapples with mounting trade and tariff uncertainties.
“Global demand for Nvidia’s AI infrastructure is incredibly strong,” said CEO Jensen Huang in a press release, emphasizing that the momentum in AI computing is expected to “accelerate”. Nvidia’s sophisticated chips are central to powering advanced artificial intelligence systems, and this growing reliance has bolstered the company’s performance despite geopolitical headwinds.
The announcement marked Nvidia’s place as the final major tech company to report earnings during what has been a stellar season for technology firms, many of which have seen their shares rebound following April’s downturn. Nvidia’s stock, along with other tech peers, had dipped earlier this year amid investor concerns over the US administration’s evolving tariff stance.
One significant hurdle was the US restriction on Nvidia’s China-specific “H20” chips, which led to a $4.5 billion charge for the company. While this figure was lower than the initially forecast $5.5 billion, the impact remains substantial. New export controls and tariffs have further complicated Nvidia’s supply chain, increasing costs and operational challenges.
In response, Nvidia announced plans to ramp up its manufacturing footprint in the United States to mitigate these issues. CEO Huang also took a critical stance against US export policies, labeling them a “failure” that ultimately harm American companies. His remarks followed reports that President Trump intends to further restrict US chip software sales to Chinese firms, in a move to stifle China’s semiconductor ambitions.
Despite these challenges, Nvidia is seeing strong support from international buyers. The company recently accompanied President Trump on a visit to the Middle East, where it secured a deal to supply hundreds of thousands of AI chips to Saudi Arabia.
“Countries around the world are recognizing AI as essential infrastructure — just like electricity and the internet,” Huang noted.
Nvidia’s data center division, a cornerstone of its AI strategy, saw a remarkable 73% year-on-year growth underscoring the company’s resilience and continued dominance in the AI chip market.
