Nvidia's $65B Forecast Signals Unwavering AI Growth and Industry Confidence

Nvidia, the leading semiconductor chip manufacturer, projects a staggering $65 billion in revenue for its fiscal 2026 Q4, signaling robust growth and unwavering confidence in the artificial intelligence (AI) sector. This forecast comes as the company continues to dominate the market with its advanced AI chip platforms, Blackwell and Vera Rubin.

Nvidia's Revenue Projections and Market Dominance

For the fiscal Q3 ending October 26, Nvidia reports record revenues of $57 billion, marking a 62% year-over-year increase. The company now anticipates a massive 65% jump in revenue for the upcoming quarter, compared to the prior-year period's $39.3 billion. CFO Colette Kress emphasizes, 'Demand for AI infrastructure continues to exceed our expectations.'

Strong Customer Orders and Long-Term Visibility

The demand for Nvidia's AI chip platforms is evident, with the company already having visibility into half a trillion dollars in Blackwell and Rubin revenue from the start of this year through the end of 2026. This strong order pipeline underscores the sustained interest and investment in AI technology.

Nvidia Addresses Concerns of an AI Bubble

CEO Jensen Huang addresses concerns about an AI bubble, stating, 'There's been a lot of talk about an AI bubble. From our vantage point, we see something very different.' He highlights three major platform shifts driving industry growth: the transition from legacy technology to accelerated computing, the generative AI era, and the emergence of agentic AI, including robots and self-driving vehicles.

Industry Context and Future Outlook

Other AI companies are also experiencing significant growth. OpenAI's weekly user base has surged to 800 million, up from 300 million at the end of 2024. Anthropic projects an annualized revenue run rate of $9 billion for 2025, expecting it to skyrocket to $26 billion by 2026. These trends align with a UN report predicting the global AI market could expand to $4.8 trillion by 2033, a 25-fold increase from $189 billion in 2023.

References

• Nvidia's $65 Billion Forecast Sends a Clear Message About the AI Boom | The Motley Fool