Nvidia Pushes Back on AI Bubble Talk
Nvidia (NVDA) came out swinging during its Q3 earnings call, directly confronting rising fears that the AI boom is overheating — and that GPU demand is being artificially inflated by circular investment deals.
CEO Jensen Huang opened with a pointed rebuttal:
“There’s been a lot of talk about an AI bubble. From our vantage point, we see something very different.”
The company delivered another blowout quarter:
- Revenue: $57.01B (vs. $55.2B est.)
- EPS: $1.30 (vs. $1.26 est.)
- Q4 revenue guide: ~$64B (above estimates)
Despite renewed volatility across tech, Nvidia emphasized that secular demand remains intact.
A $500 Billion Window Into Next-Gen Demand
In one of the most notable disclosures of the call, CFO Colette Kress said Nvidia has visibility toward $500B in demand for its next-generation Blackwell and Rubin chips through 2026.
That level of forward clarity is unusual in semiconductors and highlights the scale of hyperscaler AI buildouts.
Nvidia Defends “Circular” AI Investments
Questions around circular financing have grown louder as Nvidia invests in AI companies — Anthropic, OpenAI, CoreWeave, xAI — that then buy Nvidia’s GPUs.
Huang pushed back:
“We are expanding the reach of our ecosystem … investing in once-in-a-generation companies.”
He framed these deals as strategic CUDA expansion, not artificial demand creation.
Kress added that Nvidia GPUs retain long economic lives because of CUDA compatibility:
“A100 GPUs we shipped six years ago are still running at full utilization today.”
WSA Take
Nvidia isn’t hiding from the big questions — it’s doubling down on its view that AI demand is real, durable, and only accelerating. The company’s $500B visibility claim is one of its strongest counters yet to bubble narratives. Still, with trillion-dollar data center plans and rising scrutiny of AI financing structures, this debate isn’t going away.
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