About half of Nvidia's data center revenue comes from cloud providers, followed by big internet companies.
The growth in Nvidia's data center business was in "compute," or AI chips, which grew 195% during the quarter, more than the overall business's growth of 171%.
Some startups have even gone into debt to buy Nvidia GPUs in hopes of renting them out for a profit in the coming months.
On an earnings call with analysts, Nvidia officials gave some perspective about why its data center chips are so profitable.
Nvidia's AI software, called Cuda, is cited by analysts as the primary reason why customers can't easily switch to competitors like AMD .
Persons:
Jen, Hsun Huang, Huang, Chaim Siegel, Elazar, OpenAI, Meta, Colette Kress, Raymond James, H100s, Jensen Huang
Organizations:
Consumer, Audi, Nvidia, Elazar Advisors, Microsoft, AMD, Center
Locations:
Las Vegas, USA