Nvidia Data Center Drives 91.5% Revenue as Gamers Complain
Nvidia’s data center segment now generates 91.5% of total revenue as gamers criticize AI-driven memory shortages that prioritize Blackwell and Rubin GPUs over GeForce models. Competitor Cerebras Systems filed for an $8 billion Nasdaq IPO under ticker CBRS after securing an $850 million credit facility and partnerships with OpenAI and Amazon.
1. Gamers Criticize AI GPU Prioritization
Longtime Nvidia gaming customers report frustration as AI-driven memory shortages force the company to allocate HBM3 chips to its Blackwell and Rubin data center GPUs, delaying launches and limiting availability of new GeForce gaming cards.
2. Data Center Segment Soars to 91.5% of Revenue
Nvidia’s most recent financial breakdown shows the data center business contributed 91.5% of quarterly revenue, reflecting surging demand for AI inference and training solutions that overshadow the once-core gaming division.
3. Cerebras IPO Intensifies AI Chip Competition
Cerebras Systems filed an S-1 to go public on Nasdaq under CBRS with an $8 billion valuation, backed by an $850 million credit line and partnerships with OpenAI and Amazon, positioning it as a direct rival in high-performance AI hardware.
4. Institutional Investor Trims Nvidia Stake
Braun Stacey Associates reduced its Nvidia holding by 1.1%, selling 12,744 shares and ending the quarter with 1,115,635 shares worth $208.07 million, signaling modest profit-taking among institutional investors.