27-08-2026
CNBC’s Daily Open frames Nvidia as the primary supplier of the infrastructure powering the artificial-intelligence boom, comparing its chips to the picks and shovels sold during the American gold rush. Nvidia reported stronger-than-expected fiscal second-quarter results, with revenue more than doubling year over year to $96.22 billion and net income rising to $53.95 billion, or $2.22 per share. The company also projected 70% revenue growth for fiscal 2028, well above the 44% analysts had expected.
Despite Nvidia’s exceptional performance, the article highlights a growing competitive threat: major AI companies are developing custom chips to reduce their reliance on Nvidia. OpenAI’s first chip, called Jalapeño, reportedly delivered 1.5 to 1.9 times more AI work per watt than selected Nvidia systems in tests across three models. Google, Amazon Web Services and Meta are also developing their own chips. Salesforce provided another positive earnings signal, with its shares rising more than 12% after the company beat estimates and raised its full-year outlook.
The article also previews Apple’s Sept. 9 iPhone event, which will be the first under incoming CEO John Ternus. New Pro iPhones are expected, along with speculation about a foldable device.
In macroeconomic news, U.S. headline personal consumption expenditures inflation was slightly hotter than expected in July, while core inflation matched forecasts. Both remained above the Federal Reserve’s 2% target. Investors were preparing to watch Fed Chair Kevin Warsh’s speech at the Jackson Hole symposium, particularly after long-term borrowing costs reached a nearly two-decade high.
Oil prices were little changed following Iran’s reported agreement with Oman concerning shipping routes and revenue in the Strait of Hormuz. The article concludes with news that the Federal Reserve, NASA, the U.S. Senate, the Justice Department and other organizations were targeted by a Chinese state-sponsored hacking group whose platforms allegedly attacked critical infrastructure and sensitive networks.
Entities: Nvidia, OpenAI, Anthropic, Jalapeño custom AI chip, Google, AWS and Meta custom-chip development • Tone: analytical • Sentiment: neutral • Intent: inform
27-08-2026
Nvidia shares surged nearly 9% after the chipmaker reported quarterly results and issued revenue guidance that reassured investors about the durability of artificial-intelligence demand. The move added approximately $440 billion to Nvidia’s market capitalization and helped lift other semiconductor stocks, including Broadcom and Intel. Nebius also rallied, while CoreWeave was little changed.
Nvidia CFO Colette Kress said the company expects 70% revenue growth for fiscal 2028, which runs from February 2027 through January 2028. CEO Jensen Huang said demand is actually much stronger than that level, but acknowledged that Nvidia remains constrained by the amount of product it can supply. Taiwan Semiconductor Manufacturing Co., Nvidia’s primary manufacturer, continues to face capacity limitations, while memory-chip shortages are affecting Nvidia’s systems.
Huang characterized AI as having reached an “inflection point,” citing the rapid expansion in the number of companies requiring large clusters of graphics-processing units. Nvidia also emphasized that its growth is spreading beyond the largest hyperscalers. Revenue from its AI Clouds, industrial and enterprise customers reached $40.3 billion in the quarter, an increase of 138% from a year earlier.
The results helped ease concerns about excessive technology capital spending, circular financing arrangements and uncertain returns on AI investments. Analysts described Nvidia’s valuation as attractive and expressed confidence that the company and the broader AI ecosystem could continue growing through at least 2028. However, custom AI chips developed by hyperscalers and laboratories such as OpenAI could eventually challenge Nvidia’s near-monopoly in advanced AI semiconductors.
The article also reports that Nvidia has agreed, or is in talks, to acquire open-source AI platform Hugging Face for $12.9 billion. A completed deal would extend Nvidia’s influence from chips into AI software, models and developer tools.
Entities: Nvidia, Jensen Huang, Colette Kress, Taiwan Semiconductor Manufacturing Co. (TSMC), Broadcom • Tone: analytical • Sentiment: positive • Intent: inform
27-08-2026
Nvidia reported exceptionally strong demand for artificial-intelligence computing and forecast that its revenue will rise 70 per cent in the fiscal year ending January 2028. That projection is significantly higher than the 44 per cent growth analysts had expected and represents an unusually long-range outlook for the chipmaker. Nvidia shares rose nearly eight per cent at the opening of trading after the announcement.
Chief Executive Jensen Huang said AI has reached an inflection point because its computing output is now generating useful and profitable work. He argued that the industry is undergoing the largest infrastructure build-out in history, requiring enormous investments in computing power, energy and data centres. The forecast is intended to reassure investors concerned that the multiyear AI spending boom could be nearing its peak.
Nvidia’s data-centre revenue more than doubled to US$89 billion in the fiscal second quarter ended July, surpassing the US$85.08-billion analyst estimate. The company said demand is expanding beyond major hyperscale technology companies to include AI laboratories, enterprises, sovereign customers and industrial users. AI labs are expected to account for roughly one-quarter of Nvidia’s overall business next year.
The company also outlined growth from its next-generation Vera Rubin platform, which has begun shipping and is expected to contribute about one-fifth of data-centre revenue in the current quarter. Nvidia said cloud providers Nebius and CoreWeave will have more than eight gigawatts of Nvidia GPU capacity by the end of the year, up from three gigawatts at the end of the previous year. An expanded partnership with Amazon Web Services will deploy two million additional Nvidia graphics processors in 2027 and 2028.
However, supply constraints remain a major limitation. Shortages of memory components, rising memory prices and higher component costs are expected to restrict expansion and reduce gross margins to approximately 71–72 per cent in the fourth quarter, compared with about 74 per cent in the third quarter.
Entities: Nvidia, Jensen Huang, Colette Kress, Davos, World Economic Forum • Tone: analytical • Sentiment: positive • Intent: analyze
