Dorothy

Kress, in her CFO commentary, said supply and capacity commitments surged from $119 billion to $279 billion, driven by rising memory costs, a persistent boogeyman that has been behind rising prices all around the tech sector. During the call, Kress clarified further that the magnitude of memory prices led Nvidia to reset expectations, given the higher prices expected next year, said Kress.

China also remains a giant question mark for Nvidia. There have been signs that Beijing is allowing limited purchases of its chips by Chinese companies. That’s after the Asian nation had earlier retaliated against Washington’s restrictions with its own soft of imports of US technology. Nvidia’s Huang was able to get Washington to ease some restrictions on exports, in the form of limited licenses to some companies in China willing to take older Nvidia products.

And lets not forget growing competition: OpenAI is just one of a growing group of customers and rivals who are touting their own chip efforts and claiming parity or performance leads over Nvidia’s offerings. Until there’s enough supply to fill every order, that remains a moot point. But there are growing concerns that Nvidia’s utter dominance is facing more serious challenges.  As reported earlier, OpenAI said its new Jalapeño processor outperformed Blackwell systems in two areas in its tests. So does specialized AI compute eventually chip away at Nvidia’s dominance, or does explosive growth in overall compute demand leave room for everyone?

However, Nvidia is also battling with significant supply constraints, much like all the other mega-cap tech companies. “Our entire supply chain is challenged, and it’s everybody; everybody is really running flat out,” Huang said.

The expansion will see Amazon Web Services (AWS) deploy 2 million additional Nvidia graphics processing units (GPUs) in fiscal years 2027 and 2028. AWS will also install Vera central processing units (CPUs), both as part of larger Rubin systems and on a standalone basis. Kress said, "Amazon will also adopt [Nvidia's] full physical AI stack, Omniverse, Cosmos, Isaac, and Jetson to power its fleet of warehouse robots." Why we own it Nvidia's graphics processing units (GPUs) are the key driver behind the AI revolution, powering the accelerated data centers being rapidly built around the world. The company's chips, including central processing units (CPUs), are part of a platform that includes the hardware and software needed to power AI workloads.

Stock futures are higher Wednesday night as investors parsed the latest earnings reports from Nvidia and other well-known technology companies.

Stocks @ Night is a daily newsletter delivered after hours, giving you a first look at tomorrow and last look at today. Sign up for free to receive it directly in your inbox. Here's what CNBC TV's producers were watching on Wednesday and what's on the radar for Thursday's session. Big Tech on 'Mad Money' Jim Cramer had the two biggest newsmakers tonight. Nvidia' s Jensen Huang and Salesforce 's Marc Benioff. Both stocks are on the move after hours. "Morning Call" will pick up the details on both tomorrow at 5 a.m. ET. What's next for Nvidia Nvidia is up more than 4% in extended trading after beating earnings estimates . Revenue more than doubled in the last quarter.

“Even though our demand is much greater than 70%, our supply allows us to confidently deliver 70%,” Huang said in response to an analyst question.