NVIDIA Authorizes $80B Buyback

NVIDIA just posted a record-breaking quarter, with revenue hitting $81.6 billion and forecasts rising even higher. The company’s data center business now dominates, and aggressive moves like an $80 billion stock buyback and a dividend hike are keeping Wall Street happy. But behind the numbers, NVIDIA is betting big on full systems—stacking CPUs, memory, and software to lock in its massive edge in AI. The catch: system costs are skyrocketing, with memory alone now claiming 25% of the bill, pushing a single next-gen rack to nearly $8 million.

But here’s the twist: NVIDIA is openly conceding China’s AI chip market to local rival Huawei, telling investors to “expect nothing” from a region that once accounted for a fifth of its data center revenue. With Beijing blocking even China-compliant GPUs and pivoting to homegrown solutions, NVIDIA is redeploying supply elsewhere and doubling down on winning the rest of the world. As system costs rise and competitors like AMD and Arm circle with custom silicon aimed at inference workloads, the question is whether NVIDIA’s “full stack” strategy can keep hyperscalers loyal—or if price pressure will force a rethink.

Featuring insights and reporting from Gartner, CNBC, Tom’s Hardware, The Stack, Financial Times, and The Eastern Herald.

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