Nvidia CEO Jensen Huang said on Friday that artificial intelligence The AI industry has entered a virtuous cycle, driving the entire industry to achieve sustained growth.
At the APEC CEO Summit held in South Korea that day, Huang Renxun pointed out that the rapid progress of AI models is attracting more capital investment, and these investments are further promoting the iterative optimization of models, forming a mutually reinforcing growth cycle.
"We have now achieved what is known as a virtuous cycle. AI is becoming more and more powerful, and there are more and more users. The more users, the higher the profits; the higher the profits, the more factories will be built, thereby producing more advanced AI; better AI will attract more users, which is the virtuous cycle of AI. This is also why you are seeing accelerated growth in global capital expenditure."
Huang's remarks come at a time when global tech giants are racing to increase investment in AI infrastructure to meet the needs of end users.
This year was originally considered a big year for AI investment. Meta, Amazon Google, Microsoft The four giants combined this year in AI and data centers Investment has already exceeded $350 billion, and this spending momentum is expected to continue until 2026.
Goldman Sachs According to the latest estimates, global investment in AI infrastructure will reach $3 to $4 trillion by 2030.
Dan Ives, global head of technology research at Wedbush Securities, commented that Nvidia is "the cornerstone of the AI revolution." "The stronger the demand, the more AI infrastructure will be built; and this construction, in turn, creates even more demand and capital expenditure."
Huang Renxun emphasized that profitability is the core driving force behind the current wave of AI capital investment. “When something starts making money, you want to make more of it. Like chips, wafers, DRAM—if it’s profitable to make these products, you’ll naturally build more factories to produce more chips.”
The starting point of a new computing era
Jensen Huang pointed out that the rise of AI marks the beginning of a completely new era of computing. "We are at the beginning of a new decade of development. With the arrival of the AI era, every layer of the entire computing architecture is being completely transformed."
He explained that AI relies on GPUs to run, while traditional hand-written software runs on CPUs. "From energy requirements, chips, and infrastructure to system software, AI models, and upper-level applications, every layer of the entire software stack is being reshaped. It's important to understand that the computer industry has hardly undergone any fundamental changes in the past 60 years, but now, with the rise of AI and accelerated computing, every layer is undergoing structural restructuring."
He added, "It's conceivable that the global computer assets built in the past may amount to trillions of dollars, and now, all of these resources need to be transferred to new computing platforms." He gave a timeline: the new round of global computing infrastructure construction has only completed its "first year," and the full cycle will take at least 10 years.
Earlier this week, Nvidia became the first company to surpass a $5 trillion market capitalization. Earlier that day, Nvidia announced it would supply over 260,000 of its most advanced AI chips to the South Korean government and several major South Korean companies, including Samsung Electronics. To enhance its performance in mobile devices and robots Capabilities in chip manufacturing.
In his concluding remarks, Jensen Huang outlined a vision of an AI-driven future, where AI will not merely be a "tool," but a truly "working" entity. He specifically mentioned that the rise of fully automated manufacturing plants will be a hallmark of AI transformation, and predicted that AI will reshape the global industrial landscape, which is worth up to $100 trillion.
(Article source: CLS)
