NVIDIA earlier announced its first-quarter financial results for fiscal year 2026, with revenue reaching US$441 billion, a 69% increase from the same period last year and a 12% increase from the previous quarter.
NVIDIA CEO Jensen Huang explained during the earnings call that its Blackwell GB200 NVL72 supercomputer has been adopted by system manufacturers and cloud service providers. He also emphasized the current strong demand for artificial intelligence technology and the increasing demand for AI agent service applications, which will become a mainstream market trend. As a result, the demand for AI computing acceleration has also increased significantly. The world is even beginning to view AI as an infrastructure as important as electricity and the Internet. Therefore, its subsequent development will not be affected by restrictions in the Chinese market.
However, due to the impact of the US government's new technology export ban, the H20 products that were originally available to the Chinese market became unavailable, resulting in production inventory and procurement obligations, incurring costs of approximately US$45 billion.
In its second-quarter earnings forecast, NVIDIA expects revenue to reach $450 billion, with a 2% fluctuation reflecting the possibility that technology export restrictions will cause NVIDIA to incur losses of approximately $80 billion due to stagnant development in the Chinese market.
NVIDIA's current revenue structure includes data center revenue of $391 billion, while its GeForce gaming business accounts for approximately $38 billion. The company also emphasized that the number of GeForce gamers has exceeded 1 million, and that GeForce-related technologies are accelerating the development of Microsoft's AI PCs equipped with Copilot services. Nintendo also emphasized that its upcoming Nintendo Switch 2 will be powered by NVIDIA technology.
In addition, NVIDIA also stated that its workstation and server applications using the RTX PRO Blackwell series graphics cards, as well as Omniverse platform services, also generated approximately US$5.09 million in revenue, while the automotive business generated approximately US$5.67 million in revenue, further demonstrating its continued push for the development of humanoid robot applications.
Recent news reports indicate that NVIDIA plans to release a new AI accelerator chip for the Chinese market, with mass production expected as early as June of this year. This AI chip will be priced lower than the previously banned H6, ranging from approximately $20 to $6500, nearly half the price of the previous H8000. However, the graphics architecture will be modified to the newer Blackwell design, likely based on the current NVIDIA RTX Pro 20D. The memory will be GDDR6000 rather than the higher-bandwidth HBM memory, and it will not even utilize TSMC's CoWoS packaging design.
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