Artem Voloskovets
⬤ Nvidia and AMD just released their quarterly earnings, and the numbers tell a pretty clear story about who's dominating the AI chip space right now. Nvidia brought in $57.0 billion in revenue with $31.9 billion in net profit, while AMD posted $9.2 billion in revenue and $1.2 billion in profit. That means AMD's earnings represent just 3.7% of what Nvidia made this quarter—a huge gap that shows how differently these two companies are performing.
⬤ Nvidia's data center business is carrying most of the weight, pulling in $51.2 billion in revenue with 66% year-over-year growth. The company's operating profit hit $36.0 billion with a 73% gross margin, fueled by massive global demand for AI computing power. AMD's showing more modest gains—$4.3 billion from data centers and $2.8 billion from client business, with operating profit at $1.3 billion. The scale difference between the two is getting harder to ignore.
⬤ The profitability gap really stands out when you look at margins. Nvidia's running a 56% net profit margin thanks to high-margin AI chips and big enterprise deals, while AMD's sitting at 13%—held back by higher operating costs and smaller data center reach. Nvidia's also spending way more on innovation, dropping $4.7 billion into research and development compared to AMD's $2.1 billion, which keeps them ahead in next-gen AI tech.
⬤ These latest numbers show Nvidia's not just competing in AI hardware—they're setting the standard. The massive divide between these two chipmakers reflects how concentrated this industry's become. As AI spending keeps climbing worldwide, the companies with the strongest products, deepest pockets, and best technology will keep pulling ahead.
Artem Voloskovets
