Nvidia says its forecast for $200 billion CPU market includes China

Nvidia CEO Jensen Huang clarified on Saturday that the company’s $200 billion forecast for the CPU market encompasses China, signaling continued confidence in demand despite U.S.-China technology disputes. Huang’s remarks followed an earnings call on Wednesday, where he emphasized Nvidia’s ability to sustain growth through diverse customer bases and new products. During the earnings call, Huang introduced Nvidia’s new 'Vera' central processors, positioning them as a gateway to the $200 billion CPU market. The company aims to leverage this expansion alongside its existing AI chip dominance, which has already driven record sales. When asked about China’s role in the forecast during a press conference in Taipei, Huang responded, 'I would think so,' indicating China remains a critical market. The shift toward agentic AI—systems capable of autonomous functions—has broadened demand beyond GPUs, traditionally used for training large AI models. Nvidia’s strategy focuses on diversifying its product line to meet rising demand for CPUs in AI-driven applications. The company’s $1 trillion sales target for its flagship AI chips underscores its ambition to maintain leadership in the tech sector, even amid geopolitical challenges.