Jensen Huang says he's found a 'brand new' $200B market for Nvidia | TechCrunch

Nvidia CEO Jensen Huang frames Vera as a potentially transformative CPU product introduced in March. Nvidia reported $81.6 billion in revenue and forecast $91 billion for the next quarter. Huang links a new $200 billion total addressable market to Vera, describing it as the first CPU purpose-built for agentic AI. Vera is sold alone and also bundled with Nvidia’s Rubin GPU. Huang claims major hyperscalers and system makers are partnering to deploy Vera. Concerns remain that Nvidia’s CPU push could face competition from companies already strong in CPUs, including Intel and AMD, and from cloud providers such as AWS, which has promoted its own AI CPU ambitions.

"Huang positioned this massive new market at the feet of Nvidia's new CPU product, Vera, which was introduced in March. Speaking on Wednesday's earnings call - after Nvidia posted another record-breaking quarter with $81.6 billion in revenue and forecast $91 billion for the next - Huang pitched Vera as a potentially transformative product. And one that already has promising sales figures."

"But no matter how well Nvidia delivers, Wall Street harbors anxiety over what will knock Nvidia from its perch. Lately, such fears have centered on the CPU. Nvidia is the king of the GPU, whereas historically the CPU markets were owned by companies like Intel and AMD. (Nvidia has made CPUs previously, of course, but that's not its core business.)"

"For example, last month Amazon Web Services crowed about a giant contract it signed with Meta for millions of Amazon's homegrown AI CPUs. Amazon CEO Andy Jassy has been clear that he thinks AWS can do AI chips, both GPUs and CPUs, at least as well, and possibly better than Nvidia."

"But now, with the Vera CPU, which is sold alone and bundled with its Rubin GPU, Huang believes he's unlocked "a major new growth driver" for his company because Vera is, he believes, "the world's first CPU, purpose-built for agentic AI," Huang said on the call. "Vera opens a brand new $200 billion TAM for Nvidia, a market we have never addressed before, and every major hyperscaler and system maker is partnering with us to deploy it. The world is rebuilding computin"

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