By Max A. Cherney and Stephen Nellis
(Reuters) – Nvidia Chief Executive Jensen Huang is set to deliver the opening keynote speech at CES later on Monday and will likely unveil new videogame chips and detail efforts to parlay the company’s success in artificial intelligence into other markets outside of the data center.
Huang typically uses CES as a platform to announce new videogame chips and unveil a flurry of new plans to expand its AI business.
CES 2025, formerly known as the Consumer Electronics Show, runs Jan. 7-10 in Las Vegas and is used to debut products ranging from new automotive technology to quirky gadgets, as well as showing new ways to use artificial intelligence.
Nvidia’s stock closed at a record high of $149.43 on Monday, bringing its valuation to $3.66 trillion, making it the world’s second-most valuable listed company behind Apple.
Nvidia’s booming valuation has come from the rapid growth of its data center business, where firms such as OpenAI use its chips to develop AI technology. Analysts expect that part of Nvidia’s business to hit $113 billion in sales this fiscal year, according to LSEG data. That is more than double the $47.5 billion figure in fiscal 2024.
Nvidia still has a substantial consumer business selling graphics processing units to PC gamers, a business that analysts expect to reach $11.77 billion this year. Nvidia still leads the market in gaming chips, where it competes with Advanced Micro Devices and to a lesser extent Intel.
Last year, Nvidia unveiled its Blackwell AI server architecture at its developer conference in March. Its new line of graphics processing units (GPUs) will likely be based on similar Blackwell technology. New videogame graphics chips typically boast improved performance and image quality.
Nvidia is also increasingly looking to translate its lead in data centers into the broader PC market by positioning its gaming chips as useful in corporate PCs and laptops for handling AI work such as chatbots and “agents” that can help carry out business tasks.
That puts the company in direct competition with firms such as Intel and Qualcomm, which are hoping that AI features will spark a new round of PC upgrades.
Huang is scheduled to take the stage at 9:30 p.m. ET.
(Reporting by Max Cherney and Stephen Nellis in San Francisco; Editing by Matthew Lewis)
