Nvidia’s Blackwell chips are powering the global AI revolution as cloud giants race to deploy next-gen models.
Nvidia continues to dominate the AI chip race, delivering a blockbuster quarter that left Wall Street cheering—even as the company grapples with a massive $8 billion blow from U.S. export restrictions to China.
The AI powerhouse reported $44.1 billion in revenue, up from $26 billion a year earlier, with strong earnings per share and resilient momentum in its data center segment. The key driver? Unwavering demand for Nvidia’s next-gen Blackwell chips, particularly from major cloud providers like Microsoft, Google, and Amazon.
While the U.S. government’s ban on shipments of the H20 chips to China left Nvidia unable to tap into an estimated $50 billion Chinese market, CEO Jensen Huang remained undeterred, emphasizing that innovation and scale would continue to power the company’s global expansion.
“The $50 billion China market is effectively closed to U.S. industry,” Huang said, adding that China is already shifting to local AI alternatives. “But the AI race is about more than chips—it’s about the entire stack. That’s where Nvidia wins.”
Thoughts on Nvidia Earnings Report $NVDA: 🟢 Positive •Revenue rose to $44.1B (+69.2% YoY, +12% QoQ), beating estimates by 2.2%. •EPS of $0.81, beat by 11.0%. •Free Cash Flow margin expanded to 59.4% (+2.1 PPs YoY). •Data Center revenue surged to $39.1B (+73.3% YoY), driven… pic.twitter.com/aBZN81x5Wc
Indeed, Blackwell GPUs—which now account for 70% of Nvidia’s data center sales—are already deployed in “tens of thousands” at Microsoft alone. The newer Blackwell Ultra, promising even faster performance, begins shipping this quarter and is expected to accelerate Nvidia’s lead.
Even more promising is the growing shift from AI training to inference—where Nvidia’s chips are used to power real-time responses from AI models like ChatGPT, Bard, and enterprise assistants. Huang described the future of AI as one where models “think, reason, and plan”, demanding exponential increases in compute power.
Nvidia crushed Q1 with $44.1B in revenue, but lost $10.5B+ from China export bans. CEO Jensen Huang is going all-in on U.S. manufacturing and pivoting to the Middle East—massive AI plants, Blackwell chips, and a clear nod to Trump’s “Made in America” strategy. 🇺🇸💥 pic.twitter.com/EDf0zLw4a3
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“We are witnessing a sharp jump in inference demand,” Huang said. “Modern AI doesn’t just guess—it thinks. It reads, plans, watches, and then creates.”
Wall Street responded with confidence. Nvidia stock jumped 5%, hitting its highest level since January, as analysts praised the company’s performance amid geopolitical headwinds.
“There is one chip in the world fueling the AI revolution, and it’s Nvidia,” said Dan Ives of Wedbush.
Even as Nvidia explores limited ways to re-enter the Chinese market, it’s clear that its dominance in the AI space remains unshaken. With Blackwell shipments ramping up and demand for AI infrastructure growing across every major tech player, the company’s trajectory is firmly pointed upward—regardless of export walls.
