Nvidia CEO Defends $700B AI CapEx, Reports 73% Q4 Revenue Surge
Nvidia reported Q4 revenue of $68.13 billion, up 73% year-over-year and beating estimates, and guided Q1 sales to $76.44-$79.56 billion, topping the $71.96 billion consensus. CEO Jensen Huang affirmed that Big Tech's nearly $700 billion AI capex will persist, citing structural shift that 'compute equals revenues.'
1. CEO Pushes Back on CapEx Durability
On the Q4 earnings call, Nvidia's CEO Jensen Huang expressed confidence that Big Tech's projected nearly $700 billion AI capex will be sustained, arguing that the shift to AI-driven workloads makes compute a direct revenue driver rather than discretionary infrastructure spend.
2. Q4 Performance Exceeds Expectations
Nvidia reported Q4 revenue of $68.13 billion, a 73% increase from last year and above analyst estimates of $66 billion, driven by strong demand for GPUs and data center products.
3. Robust Q1 Outlook and 2027 Visibility
The company guided Q1 revenue of $76.44-$79.56 billion, surpassing consensus of $71.96 billion, and highlighted long-term purchase commitments extending into calendar 2027 as evidence of continued demand growth.