Nvidia had one other stellar quarter, reporting this week it had revenues of $4.73 billion for its third fiscal quarter ended October 25, up 57% from a yr earlier.
We talked to CEO Jensen Huang about these outcomes, however we additionally strayed into different points as nicely, such because the atmosphere for antitrust. The tech giants like Apple, Google, Amazon, and Fb are going through extra scrutiny today on antitrust, and I requested Huang if that affected Nvidia, particularly because it makes an attempt to amass Arm for $40 billion. Nvidia additionally mentioned its GeForce Now will debut on iOS through the net, with Fortnite coming quickly, in a means that was constraining due to Apple’s guidelines about cloud gaming.
I additionally requested him if he thinks that Arm deal will even make Nvidia turn into extra open than it in any other case may be. We additionally chattered in regards to the PC versus the next-generation consoles and the way Nvidia’s two huge companies, gaming graphics and AI/datacenter chips, are contending with one another to turn into the corporate’s greatest supply of revenues.
We hope you benefit from the dialog. Right here’s an edited transcript of our interview.
GamesBeat: Congratulations on one other good quarter. On anti-trust, I questioned — the regulators and Congress are all going after the tech giants now. Is that one thing that may have an effect on Nvidia ultimately, like with the ARM acquisition? What do you consider the atmosphere for anti-trust?
Jensen Huang: There’s nothing on my radar. All the companies we’re in are tremendous aggressive. ARM has large clients. The brand new markets they need to develop into, they’re the extreme underdog. There’s each cause to consider that by including extra horsepower to ARM, we’re going to extend buyer selection and enhance innovation within the market. Our evaluation is that regulatory goes to be fairly favorable to this transaction.
GamesBeat: Do you assume ARM might help Nvidia turn into extra open than it ordinarily may be?
Huang: ARM and Nvidia are very comparable. Nvidia’s structure is obtainable in each cloud, in each laptop maker, in each form and dimension. You should purchase chips. You should purchase methods. You’ll be able to lease it for a greenback an hour. The rationale why our platform is so well-adopted is as a result of it’s open. Folks discuss even reverse-engineering our structure, and that’s tremendous. The structure might be essentially the most abundantly accessible structure exterior of the x86 on the planet, for general-purpose programming.
ARM is identical means. Their structure is obtainable to anyone who needs to come back and get it. These are very comparable, and we have now very comparable attitudes in regards to the availability of our structure to clients.
GamesBeat: The opposite aspect of that is, would you like different firms to be extra open and permit you to do extra? For instance, Apple and GeForce Now. That cloud gaming app can’t actually occur besides on the net. How do you’re feeling about others being open?
Huang: Our technique is to be open, to have an open platform for everyone to make use of nevertheless they’d like to make use of it. However everyone has their very own technique. Ours simply occurs to be an open platform technique.
GamesBeat: We’ve one other console season right here. What do you consider the PC versus console proper now? There’s an fascinating competitors shaping up.
Huang: I don’t actually assume they’re rivals. The issues you are able to do on a PC, you possibly can’t do them on a console. However the factor that’s nice is that each one the content material builders are having to lift the bar as a result of the consoles are so highly effective. Everyone seems to be shifting to raytracing, which is improbable. All of that’s good for gaming.
If you happen to have a look at the best way that individuals use PCs today, as you realize, gaming has gone nicely past simply gaming. It’s used for artwork. It’s used for sport. It’s used for sharing and influencers. The PC is one of the best platform for doing all of that. To not point out, you want a PC anyway for video conferencing and issues like that. You would possibly as nicely get an Nvidia GeForce with AI broadcasting and all that stuff. It’s good bang for the buck.
GamesBeat: I see gaming and the info middle are buying and selling the lead in your revenues backwards and forwards. Do you count on that to maintain occurring within the foreseeable future?
Huang: I hope the 2 companies will proceed to commerce leads within the dimension of the enterprise. It’s a foregone conclusion that everyone on the planet might be a gamer sometime. There are solely a billion lively players at present. Sometime there might be 7 billion, 8 billion lively players. The expansion alternative for gaming remains to be nicely forward of us. Gaming is the one leisure that may be any leisure. You and I each know that when the metaverse, we’re going to spend so much extra time in recreation worlds, not simply to recreation, however simply to hang around, to be with individuals, to work together with individuals. The gaming market has an amazing future forward of it.
Then again, I additionally know that AI is a brand new means of writing software program, and this manner of writing software program goes to influence each trade. As a result of we are able to now write software program that we in any other case couldn’t earlier than, computing might attain extra locations that we in any other case couldn’t earlier than. For instance, who would have thought that on the roads of the longer term, a billion computer systems could possibly be simply driving round? Who would have thought that, sooner or later, there might be 1000’s of computer systems roaming round warehouses and factories? These are all new functions that in any other case wouldn’t have been doable with out AI.
Each constructing might be an AI. The whole lot might be an AI. That’s going to generate a variety of knowledge, much more computing. The pc trade goes to be gigantic due to AI. It’s the catalyst that’s been lacking. It’s the ultimate piece of the puzzle, to write down the software program. If somebody can write the software program, we are able to promote a pc. Now we are able to have computer systems write software program. These two companies are long-term secular alternatives.