Nvidia Posts First Trillion-Dollar Quarter. Jensen Huang Says Demand Still Exceeds Supply.
H200 chips selling faster than they can be made. Every major AI lab is competing for allocation.
The Numbers
Nvidia's Q4 FY2026 results shattered records:
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Where the Money Comes From
Revenue Breakdown
Data Center Customers
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The Jensen Huang Quotes
On Demand
'Every major technology company in the world is racing to build AI infrastructure. Demand for our chips exceeds supply and will for the foreseeable future. We're in the iPhone moment of AI.'
On Competition
'AMD, Intel, custom silicon—they're all welcome to try. CUDA has 4 million developers. The ecosystem is the moat.'
On the Future
'We're not in the chip business. We're in the accelerated computing business. The total addressable market is all computing. That's a $3 trillion annual opportunity.'
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The Chip Situation
Current Products
Production Capacity
- Current: ~4 million H-series chips/year - 2026 target: 8 million chips/year - Constraint: TSMC advanced packaging capacity - Solution: Building with TSMC, Samsung, Intel
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Who's Buying
The Hyperscaler Race
The AI Lab Buildout
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The Competition Landscape
Alternatives to Nvidia
Why Nvidia Still Wins
1. CUDA ecosystem: 15 years of software optimization 2. Network effects: Everyone trains on CUDA, so everyone deploys on CUDA 3. Full stack: Chips + networking + software 4. Execution: They ship on time, at scale 5. Roadmap: B100, B200 already announced
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Stock Performance
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The Bull Case
- AI infrastructure buildout continues for 5+ years - Total addressable market expands as AI reaches more industries - Software ecosystem is unassailable - Inference demand grows as AI deployments scale - New markets: robotics, autonomous vehicles, scientific computing
The Bear Case
- Customers building custom silicon to reduce dependence - AMD/Intel eventually close the gap - AI spending peak may be sooner than expected - Regulatory risk (China restrictions, antitrust) - Valuation assumes flawless execution
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The Bigger Picture
This Is Historically Unusual
Nvidia—a chip company—is approaching Apple-level revenue. That's unprecedented.
The AI Arms Race in Numbers
Total AI infrastructure spend 2026: ~$500B Nvidia's share: ~60% That's $300B going to one company.
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Bottom Line
Nvidia's dominance is real and likely to continue for the foreseeable future. The question isn't whether they're winning—they are. The question is:
1. How long does the AI buildout continue? 2. Can anyone build a competitive alternative? 3. Is this the new normal or a bubble?
For now, Jensen Huang is sitting on the most valuable company in history, built on selling the infrastructure for the AI revolution.
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Related Reading
- NVIDIA's Blackwell Chips Face 12-Month Backlog as AI Demand Surges - Jensen Huang Is Now Worth $120 Billion. He Wears the Same Leather Jacket. - NVIDIA Is Now Worth More Than Every Country's GDP Except the US and China - NVIDIA's Blackwell Chips Are Delayed Again—Here's Why It Matters - NVIDIA's Blackwell B300 Ships: 10x Faster AI Training Is Here