NVIDIA CEO says fears of the impact of Deepseek

(Bloomberg) – The new types of artificial intelligence models that produce more complex answers will only increase the need for infrastructure.

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The CEO of Jensen Huang said that the fears caused by the Chinese R1 AI model Deekseek – that there is a need for fewer chips and strong servers for such programs in the future – is misplaced.

“Understanding R1 was completely wrong,” Hwang said at a meeting with analysts and investors at the GTC conference for his company on Wednesday in San Jose, California. “Request for account is much higher.”

NVIDIA shares increased by 2.4 % in the New York Trade. They decreased by 14 % this year heading to the session.

The company is trying to persuade a wide range of industries to invest in artificial intelligence equipment, and promised that the economic benefits of technology are affordable. NVIDIA, which has become the world’s most amazing chip makers over the past two years, faces more investors in 2025. The main concern is whether customers will keep their spending on Amnesty International’s infrastructure.

Dibsic encouraged these concerns earlier this year when she released the artificial intelligence model, saying it produced strong technology for less money. But the largest NVIDIA customer has again confirmed their spending plans since then. This week, the Bloomberg Intelligence Intelligence analysis found that the expenses by the largest data center operators are actually climbing faster than expected.

At the analyst meeting, Huang from NVIDIA was asked about customer efforts to develop their own components – chips that might replace his accelerators in data centers. Companies like Google operates from Alphabet Inc. With Broadcom Inc. To develop integrated circuits for their application, or ASIC, for this field. But Huang Ward that many ASics are designed but not always placed in data centers.

He said that these senior customers need better chips to generate more revenues than their infrastructure, and not cheaper to save costs.

“All these companies are managed by senior executives who are really fluent in mathematics,” he said. “The effects are not just a cost.

He said that competitors ’chips could not correspond to the design of the fold in Nafidia, its previous generation. The current Blackwell platform is 40 times more powerful.