Nvidia has another record quarter amid record capex spends | TechCrunch

TechCrunch

by Russell Brandom

February 25, 2026

AI-Generated Deep Dive Summary

Nvidia reported a record-breaking quarter driven by soaring demand for AI computing power. CEO Jensen Huang highlighted the exponential growth in token demand, noting that even older GPUs are being fully utilized, leading to rising prices. Revenue surged 73% year-over-year to $68 billion, with data center contributions accounting for $62 billion, split into $51 billion from compute solutions and $11 billion from networking products. Despite the lifting of U.S. export restrictions to China, Nvidia has yet to generate revenue from Chinese customers using H200 products. The company remains cautious about future imports, referencing competition from Chinese firms like Moore Threads, which have recently gone public and could potentially disrupt the global AI landscape. Huang emphasized Nvidia's strategic focus on partnerships with leading AI players, including OpenAI, Anthropic, Meta, and Elon Musk’s xAI. While a $30 billion investment in OpenAI is under consideration, Huang assured investors that the company is close to finalizing a partnership agreement, though no deal is guaranteed. The executive also addressed sustainability concerns regarding tech companies' capital expenditures (capex). He argued that compute investments are essential for generating profitable tokens, which drive cloud service provider revenue. Nvidia has reached an inflection point where token generation is both productive and profitable, signaling long-term growth potential in the AI-driven economy. This article underscores Nvidia's pivotal role in the AI revolution, its strategic initiatives, and the broader implications for the tech industry

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Originally published on TechCrunch on 2/25/2026