The solid results come amid increasing talk among Wall Street analysts of an AI bubble, with all eyes on how Nvidia, the industry's bellwether company, will weather the doubts.
"There's been a lot of talk about an AI bubble," Nvidia chief executive Jensen Huang said on an earnings call.
"From our vantage point, we see something very different."
Jensen reasoned that companies around the world are shifting from classical computing machines and software relying on CPUs to AI-infused systems needing graphics processing units (GPUs) that are Nvidia's specialty.
Add to that software programs rapidly adapting to the AI age and a trend of AI "agents" capable of independently tending to computer work, according to Jensen.
"Nvidia is chosen because our singular architecture enables all three transitions across every phase of AI," Jensen said.
"Our customer financing is up to them. We see opportunity to grow for quite some time."
AI is already paying off for internet giants in the form of improved recommendation engines and efficiencies, according to Jensen.
"The internet has trillions of pieces of content," Jensen said.
"How could they possibly figure out what to put in front of you and your tiny screen, unless they have really sophisticated recommender systems to do so well -- that has gone generative AI."
AI industry rivals have been pouring billions of dollars into Nvidia's prized GPUs to power the technology despite questions regarding how the investments will pay off.
Wedbush analyst Dan Ives referred to Nvidia earnings as a "pop the champagne" moment for the tech sector and a sign that worries of an AI bubble are overstated.
- China sales stalled -
Nvidia reported profit of $31.9 billion on record-high quarterly revenue of $57 billion, sending shares up more than 5 percent.
It also took in some 60 percent more money in the quarter than it did during the same period the prior year, according to earnings figures.
"Blackwell sales are off the charts, and cloud GPUs are sold out," Huang said, referring to the latest model of its state-of-the-art hardware.
"The AI ecosystem is scaling fast -- with more new foundation model makers, more AI startups, across more industries, and in more countries."
Revenue in the current quarter is expected to be $65.0 billion, nearly $3 billion more than forecast by Wall Street analysts.
Most of the money brought in during the recently ended quarter came from Nvidia's unit devoted to GPUs for data centers.
Nvidia was valued at more than $4.5 trillion based on the number of outstanding shares.
In the period, Nvidia announced strategic partnerships with OpenAI to deploy at least 10 gigawatts of systems for next-generation AI infrastructure, while Anthropic will adopt one gigawatt of compute capacity using Nvidia's latest systems.
Nvidia is caught up in President Donald Trump's trade war with China, where Beijing has responded by expressing national security concerns about Nvidia chips and urging Chinese businesses to rely on local suppliers instead.
Sales of H-20 GPUs, which are designed for the Chinese market due to US restrictions on exports of AI chips to that country, tallied only $50 million in the quarter, according to chief financial officer Colette Kress.
"Sizable purchase orders never materialized in the quarter due to geopolitical issues and the increasingly competitive market in China," Kress said on an earnings call.
"To establish a sustainable leadership position in AI computing, America must win the support of every developer and be the platform of choice for every commercial business, including those in China."
Saudi AI firm Humain inks Nvidia deal as US allows chip sales
Riyadh, Saudi Arabia (AFP) Nov 20, 2025 -
Saudi Arabia's state-backed artificial intelligence firm Humain has announced a new partnership with Nvidia, as US officials cleared the way for the sale of advanced microchips to the Gulf kingdom.
The announcement came as Crown Prince Mohammed bin Salman visited Washington this week, where the heir to the Saudi throne secured a deal to purchase F35 fighter jets, inked a civil nuclear energy agreement, and saw the kingdom named a major non-NATO ally.
The Nvidia deal was announced while the crown prince and President Donald Trump oversaw a Saudi-US business forum on Wednesday as the two countries said they had signed a "strategic artificial intelligence partnership".
The deal between Humain and Nvidia laid the foundation for an "expanded strategic partnership" between the two companies with plans "to deploy up to 600,000 of Nvidia's latest AI infrastructure technologies over the next three years", Humain said in a statement.
"In addition to establishing Nvidia-powered data centers in Saudi Arabia, Humain is expanding its operations to AI data centers in the United States powered by Nvidia AI," it said.
The announcement came as the US Department of Commerce said it had approved the export of advanced Nvidia chips to Humain and G42 -- an AI firm based in the United Arab Emirates.
The export of the California firm's most powerful chips is controlled by US authorities, who fear they could be diverted for the benefit of its Chinese rival.
Both companies will be able to purchase the equivalent of up to 35,000 Nvidia Blackwell chips in accordance with the plan, according to the department.
Humain, launched in May, is bankrolled by Saudi's powerful Public Investment Fund, which has played a key role in financing the kingdom's so-called gigaprojects -- major developments aimed at boosting and diversifying its oil-reliant economy.
On Wednesday, Nvidia beat Wall Street's expectations during its latest earnings report, thanks to the fierce demand for its sophisticated chips that power artificial intelligence.
G42 is currently building a data center in the UAE with a capacity of one gigawatt for generative-AI specialist OpenAI, in partnership with Oracle, Cisco, Nvidia, and SoftBank.
Four arrested in US in scheme to smuggle AI chips to China
Washington (AFP) Nov 20, 2025 -
Two Chinese nationals and two Americans have been arrested for allegedly illegally exporting cutting-edge Nvidia chips with AI applications to China, the Justice Department said Thursday.
Chinese nationals Cham Li, 38, and Jing Chen, 45, along with Americans Hon Ning Ho, 34, and Brian Raymond, 46, are charged with conspiring to violate the Export Control Reform Act (ECRA) and money laundering.
Justice officials said the four conspired to illegally export advanced Nvidia graphics processing units (GPUs) to China through Malaysia and Thailand.
The defendants engaged in a "deliberate and deceptive effort to transship controlled Nvidia GPUs to China by falsifying paperwork, creating fake contracts, and misleading US authorities," Assistant Attorney General John Eisenberg said in a statement.
They received nearly $4 million from China to help finance the export scheme, the department said.
It said some 400 Nvidia A100 GPUs were exported to China between October 2024 and January 2025 in two shipments. Two other shipments were "disrupted by law enforcement and therefore not completed."
The Justice Department said China is seeking cutting-edge US technology to further its goal of becoming the world leader in AI by 2030.
Violations of ECRA and money laundering are each punishable by up to 20 years in prison.
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