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Back to Jensen Huang | Does AI Revenue Justify Capex, '27 AI Bottlenecks, Singularity, Open vs Closed & more, with Jensen Huang & Brad Gerstner.

Why Does Jensen Huang Expect Four Trillion a Year?

Jensen Huang says that as the decade ends, yearly infrastructure build-out will probably land between three and four trillion dollars, closer to four than to three. One and a half trillion of the yearly total is compute alone. A co-host says continued online shopping is a third of the build-out, tells Jensen Huang to take a third of his business to the bank, and says the share is beyond debate, so a third of the build-out is going to occur.

Compute was half a trillion dollars a year before artificial intelligence. Jensen Huang says that over six, seven, or eight years the half trillion became one and a half trillion because the world is consuming more compute. Moore's law is over. Waiting one year once bought twice as many transistors at the same price. Twice as many transistors now costs twice as much no matter how long you wait. Whatever computing capacity the world wants every single year, twice as much capacity means paying twice as much. On top of the half trillion already growing because the world can use more and more digital technology, he says the spending needs an extra factor because Moore's law is over.

Even without artificial intelligence, Jensen Huang says the semiconductor industry was on its path to become the largest industry in the world. He mentioned the claim long ago, people forgot, and he said it two years ago.

Grokipedia·Jensen Huang

Transcript

Jensen Huang | Does AI Revenue Justify Capex, '27 AI Bottlenecks, Singularity, Open vs Closed & more ·

BG2Pod with Brad Gerstner and Bill Gurley

More from this episode

  1. Why Did Jensen Huang's Parents Fly in Overnight?Jensen Huang says five of the six people on the medal stage were born outside the United States. He received the National Medal of Science for NVIDIA.
  2. Why Will the Cost of Intelligence Keep Falling?Jensen Huang says the last year unlocked knowledge, working memory, and tool use.
  3. Why Didn't Keynes's 15-hour Week Happen?Jensen Huang says the hope of more free time is wrong. For most people, intelligence unlocks more opportunities, and ambitious people will pursue them.
  4. Did Jensen Huang Understate Physical Artificial Intelligence?Jensen Huang says he understated the $100 billion figure. The first six months already produced $10 billion in physical artificial intelligence.
  5. How Many Computers Does Physical AI Need?Jensen Huang says building a physical artificial intelligence platform takes three computers and three complete stacks, and he says it takes three robots as…
  6. Is AI Alignment a Forever Problem?Jensen Huang says alignment is a forever problem. Safety that depends on perfect alignment never arrives. The answer is containment.
  7. How Did Nvidia's Dollars Per Gigawatt More Than Double?Jensen Huang says Nvidia's market share is still increasing even though the company is already large and the share was already very high.
  8. Why Put Nvidia Computers on Starship?Jensen Huang says NVIDIA's engineers and Elon Musk's team are designing a server that works in space and on Earth.
  9. Why Do Most AI Startups Use Open Models?Jensen Huang says the frontier labs are only part of NVIDIA's machines. He puts them at about a quarter of the compute, maybe 30 percent.
  10. Why Can't Nvidia Fill Its Order Book?Jensen Huang says every large cloud, every neocloud, and every big manufacturer had already ordered, and so had the startups.
  11. Why Did Jensen Huang Call Specialization the Enemy?Jensen Huang says specialization is the enemy of fungibility and the enemy of durability.
  12. What Yearly Computing Build Would Not Surprise Jensen Huang?Jensen Huang says the world is running about a trillion dollars of information technology buildout each year.

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