Wed, 27 Aug 2025

Wed, 27 Aug 2025 AI boom boosts Nvidia despite 'geopolitical issues'

Nvidia remains exposed to geopolitical tensions between the US and China.

* Nvidia reported a 56% surge in revenue to $46.7bn (£34.6bn) for the second quarter of this year.
* The company's sophisticated chips have been crucial in the AI boom, with big tech firms like Meta and OpenAI increasing their demand for its products.
* Despite navigating US-China trade tensions, Nvidia's CEO Jensen Huang said that "the AI race is now on" and spending from four major tech firms has doubled to $600bn per year.
* Revenue from data centers surged by 56% to $41.1bn, but the company fell short of analyst expectations.
* Nvidia expects revenue in the current quarter to reach $54bn, surpassing Wall Street estimates.
* The company remains exposed to geopolitical tensions between the US and China, with the US government reviewing licenses for sales of its H20 chips designed specifically for Chinese customers.
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