“Demand for Blackwell is amazing as reasoning AI adds another scaling law — increasing compute for training makes models smarter and increasing compute for long thinking makes the answer smarter,” Nvidia Founder Jensen Huang said in a statement.
The poster child of the AI boom, Nvidia has grown into the second-largest company on Wall Street — it is now worth over $3 trillion — and the stock’s movement carries more weight on the S&P 500 and other indexes than every company except Apple.
The fourth-quarter earnings are the company’s first report since Chinese company DeepSeek boasted it had developed a large language model that could compete with ChatGPT and other U.S. rivals, but was more cost-effective in its use of Nvidia chips to train the system on troves of data.
Nvidia and other companies benefiting from the AI boom have been a major reason the S&P 500 has climbed to record after record recently, with the latest coming last week.
But the company in a statement commended DeepSeek’s work as “an excellent AI advancement” that leveraged “widely-available models and compute that is fully export control compliant.”.
