🔥 Huang Renxun Responds: Nvidia Invests Money in AI Companies—not “Left Hand to Right Hand” Revenue!
On August 27, Nvidia CEO Huang Renxun publicly addressed outside questions. Some people believe Nvidia, on the one hand, sells AI chips, and on the other provides funding support to AI companies—seemingly like “bleeding” its own customers, then circling the money back into its own revenue.
Huang Renxun’s response is very direct: AI itself is a super cash-burning industry.
In the past, a startup might get started with tens of millions of dollars. But now, building large models, buying compute power, building data centers, and continuously training models—without fail, it can run into tens of billions or even over a hundred billion dollars. AI is not ordinary internet business. Early-stage investment is like a bottomless pit: money burns fast, and compute power gets consumed even faster.🤖💰
So Nvidia participating in financing, in Huang’s view, is not strange at all. AI companies need money to expand, and Nvidia needs customers to buy compute power—both sides are essentially business partners in the same industry chain.
Even more interesting is that he isn’t too worried about investments going down the drain.
The reason is simple: chips and compute infrastructure aren’t limited to use by just one AI company. Even if a specific funded company’s operations don’t go smoothly in the future, Nvidia’s compute can still be transferred to other customers, other models, and other businesses to keep being used.
In other words, what Nvidia is truly betting on isn’t whether any single AI company can survive—it’s whether the entire AI industry will keep going on a rampage of consuming compute power.
That’s the real point the market should focus on.
If AI demand continues to grow, Nvidia may earn not only the money from “selling chips,” but also become a core infrastructure player in the AI industry chain—around compute, capital, and the ecosystem.
The more cash-intensive AI gets, the more valuable compute becomes. What Nvidia is betting on now is that this AI arms race still hasn’t reached its end. 🚀$NVDA $ETH $BEAMX #中国反对美国拟加征7.5%关税
On August 27, Nvidia CEO Huang Renxun publicly addressed outside questions. Some people believe Nvidia, on the one hand, sells AI chips, and on the other provides funding support to AI companies—seemingly like “bleeding” its own customers, then circling the money back into its own revenue.
Huang Renxun’s response is very direct: AI itself is a super cash-burning industry.
In the past, a startup might get started with tens of millions of dollars. But now, building large models, buying compute power, building data centers, and continuously training models—without fail, it can run into tens of billions or even over a hundred billion dollars. AI is not ordinary internet business. Early-stage investment is like a bottomless pit: money burns fast, and compute power gets consumed even faster.🤖💰
So Nvidia participating in financing, in Huang’s view, is not strange at all. AI companies need money to expand, and Nvidia needs customers to buy compute power—both sides are essentially business partners in the same industry chain.
Even more interesting is that he isn’t too worried about investments going down the drain.
The reason is simple: chips and compute infrastructure aren’t limited to use by just one AI company. Even if a specific funded company’s operations don’t go smoothly in the future, Nvidia’s compute can still be transferred to other customers, other models, and other businesses to keep being used.
In other words, what Nvidia is truly betting on isn’t whether any single AI company can survive—it’s whether the entire AI industry will keep going on a rampage of consuming compute power.
That’s the real point the market should focus on.
If AI demand continues to grow, Nvidia may earn not only the money from “selling chips,” but also become a core infrastructure player in the AI industry chain—around compute, capital, and the ecosystem.
The more cash-intensive AI gets, the more valuable compute becomes. What Nvidia is betting on now is that this AI arms race still hasn’t reached its end. 🚀$NVDA $ETH $BEAMX #中国反对美国拟加征7.5%关税
