NVIDIA predicts to achieve $1 trillion in AI chip revenue by 2027

MaticHoleFiller · 2026-03-26T19:34:28+00:00

NVIDIA expects AI chip revenue to reach $1 trillion by 2027 due to increasing demand for real-time AI applications. CEO Jensen Huang announced new products, indicating an entry into the reasoning computing field, with reasoning demand becoming the main growth driver. The stock price rose slightly.

MaticHoleFiller

2026-03-26 19:34:28

Abstract generation in progress

Nvidia stated that as demand shifts toward real-time AI applications, its AI chip revenue opportunities could reach at least $1 trillion by 2027, doubling the previous expectation of $500 billion by 2026.

CEO Jensen Huang announced new products at the GTC conference in San Jose, including a central processing unit and an AI system built on Groq-licensed technology. This move reflects Nvidia’s entry into the inference computing field, where AI models generate responses for users amid increasing competition.

Nvidia has traditionally dominated AI training tasks, but companies like OpenAI and Meta are now focusing on deploying AI services to large user bases. This shift is driving demand for inference infrastructure, a market historically led by Intel in CPUs.

Huang said that inference demand is accelerating and described it as a key growth driver. He added that sales of standalone CPUs are expected to become a billion-dollar business.

Following the announcement, the stock price rose slightly, indicating cautious optimism among investors. The company’s next catalyst will be more details about its Rubin and future Feynman chip platforms.

View Original

This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.