$NVDA For Smart People:
$NVDA Conference Call Summary: We had another record quarter. Customers are accelerating their purchases of Hopper and gearing up to adopt Blackwell. Next-generation models will require 10 to 20 times more compute to train with significantly more data. The trend is expected to continue. Blackwell production ramp is scheduled to begin in Q4 and continue into fiscal 2026, and we expect to ship several billion dollars of Blackwell revenue in the fourth quarter. Hopper shipments are also expected to increase in the second half of the fiscal year as supply improves. Blackwell revenue will be additive to Hopper revenue, at least until Blackwell supply meets demand, which isn’t going to happen this year. With this, though, we will see weaker margins in the fourth quarter.
CPU scaling has been slowing for some time and has slowed to a crawl, but demand for computing doubles every year. Without the transition to accelerated computing, computing inflation would drive up costs for every company. Therefore, despite our outrageously high prices, we’re still cheaper than the alternative. At the same time, the ability to compute more has created the AI revolution. These two transitions are occurring at the same time, which is very important to keep in mind, and so we expect demand to continue. In fact, we are seeing momentum of generative AI accelerating. Because of this, the next trillion dollars in the world’s infrastructure will clearly be different than the last trillion. That will include liquid cooling because you can deploy three to five times the throughput.
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