Jensen Huang explains why Nvidia expects 70% growth next year
Nvidia CEO Jensen Huang reiterated at a Goldman Sachs conference that he expects the company's revenue to grow 70% next year, citing its deep integration across the entire AI industry. Analysts estimate that would take revenue from roughly $400 billion to about $680 billion.
Nvidia founder and CEO Jensen Huang used a Thursday appearance at Goldman Sachs' Communicopia + Technology conference to explain his confidence that the company's record revenue growth will continue through next year, despite mounting competition from hyperscalers, AI labs building their own chips, and new rivals.
Huang pushed back on the lingering perception of Nvidia as a maker of consumer graphics cards once priced around $399. He said a single modern GPU system now costs about $8.5 million, contains two million parts, and draws 250,000 kilowatts — and the company ships thousands of them. He also noted that orders for one specific product, a system combining 36 Grace CPUs with 72 Blackwell GPUs, are currently growing 27% month over month.
The 70% forecast
Huang repeated guidance first given last month, when Nvidia reported another record revenue quarter, that he expects revenue to grow 70% year over year. With analysts projecting roughly $400 billion in revenue for the current fiscal year, that growth rate would put next year's revenue at around $680 billion.
He attributed his confidence to Nvidia's position as what he called a foundational platform for the AI industry, noting that virtually every major AI lab — including Anthropic, OpenAI, and Google — as well as open-weight model developers, run on its technology. Huang said the company tracks infrastructure development worldwide, including land, power, and data center construction, through its extensive network of cloud providers, hardware makers, and AI companies.
Asked about Nvidia's so-called circular deals, in which it invests in companies that then buy its products, Huang dismissed the concern, joking that every dollar invested returns roughly a hundredfold. He maintained that Nvidia only invests after confirming real, revenue-generating contracts are in place, citing about $100 billion worth of such contracts overall.
