Nvidia’s boss Jensen Huang just slammed the door on fears of an AI bubble bursting, calling it a total myth during the company’s latest earnings call. With record-breaking revenue and sky-high demand for AI chips, investors are buzzing, but is this growth for real or just hype? Stick around to see why Huang says we’re only at the start of a massive tech shift that could change everything.
Huang’s Bold Take on AI Growth
Jensen Huang, the head of Nvidia, made waves on November 20, 2025, during the company’s third-quarter earnings call. He flat-out rejected talk of an AI bubble, saying his view from the inside shows something very different. Huang pointed to three big changes driving real demand: a switch from old-style computing to faster GPU tech, the rise of tools that create content like art or text on the fly, and smart systems that act more like helpful agents.
This comes at a key time. Nvidia reported a whopping $57 billion in revenue for the quarter, up 62% from last year. That’s a record high, and it beat what Wall Street expected. The company’s gross margin stayed strong at over 73%, showing they keep costs in check while sales boom.
Investors had been nervous. Nvidia’s stock dipped more than 7% in early November 2025 as broader market worries grew. But after Huang’s words, shares jumped over 6% in after-hours trading.
Huang stressed that AI isn’t just a fad. He said every data center and cloud service is shifting to Nvidia’s tech, creating a steady stream of orders.
Why Investors Fear an AI Bubble
Talk of an AI bubble has picked up steam because stock prices for tech giants like Nvidia have skyrocketed. Over the past five years, Nvidia’s shares climbed about 1,200%, fueled by AI excitement. But high valuations make some folks wonder if it’s all built on sand.
For example, the S&P 500’s Shiller CAPE ratio hit one of its priciest levels ever in recent months. This measure looks at stock prices compared to long-term earnings, and when it’s this high, it often signals overblown expectations.
Critics worry that if AI doesn’t deliver quick profits for everyday businesses, the whole thing could crash like the dot-com bust in 2000. That fear hit Nvidia hard, with its stock trading at around 40 times future earnings estimates, which some see as too steep.
Yet Huang pushed back hard. He said demand for Nvidia’s Blackwell chips is “off the charts,” with cloud providers sold out and racing to build more.
Posts on X show mixed feelings. Some users cheer Huang’s confidence, while others doubt if the hype matches real-world use.
The Numbers Behind Nvidia’s Surge
Let’s break down the hard facts. Nvidia’s data center business, which powers most AI work, brought in the bulk of that $57 billion revenue. That’s up big from previous quarters, thanks to huge orders from companies like Amazon and Google.
Here’s a quick look at key figures from the earnings report:
| Metric | Q3 2025 | Year-Over-Year Change |
|---|---|---|
| Revenue | $57 billion | +62% |
| Gross Margin | 73.5% | Stable |
| Net Income | $23 billion (estimated) | +70% |
These numbers come straight from Nvidia’s report on November 20, 2025. Analysts at firms like those tracking tech stocks say this growth stems from real spending on AI infrastructure, not just speculation.
Huang predicts up to $500 billion in revenue from new chips alone by 2026. That’s based on talks with customers who are pouring money into AI to stay ahead.
Surprisingly, even with U.S.-China trade tensions, Nvidia excluded China from its outlook but still hit high marks. This shows strength in other markets.
One standout point: Huang said AI is creating “intelligence in real time,” meaning every new query needs fresh computing power, which keeps demand growing.
What This Means for the Future of AI
Looking ahead, Huang sees AI transforming industries from healthcare to cars. He talked about agentic AI, where systems don’t just answer questions but take actions, like booking a flight or diagnosing a problem.
This could mean big wins for everyday people. Imagine AI helpers that save time at work or make shopping smarter. But it also raises fears of job losses if machines take over tasks.
Nvidia’s role as the go-to for AI chips puts it in the driver’s seat. Competitors like AMD are gaining ground, but Nvidia’s CUDA software keeps it ahead, making it easier for developers to build on their platform.
Broadcom and others echo this optimism, reporting strong AI demand in their own earnings.
Still, risks remain. If economic slowdowns hit, companies might cut AI budgets. Huang admits supply chains are tight, but he says Nvidia is ramping up production.
In the end, Jensen Huang’s firm rejection of AI bubble fears, backed by Nvidia’s stellar earnings and booming demand, paints a picture of hope for tech lovers and investors alike. It reminds us that real innovation can drive lasting growth, even when doubts swirl, stirring that spark of excitement about what’s next in our digital world. What do you think, is AI the real deal or headed for a fall? Share your take with friends on social media and let’s keep the conversation going.
