Nvidia Unveils New Inference Chip and Revenue Outlook
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Mar 17 2026
0mins
Source: CNBC
- New Inference Chip Launch: Nvidia unveiled its LPX inference chip, built on a $20 billion technology licensing deal with AI startup Groq, aimed at enhancing performance for low-latency inference tasks, and is set to launch alongside the Vera Rubin chip series, solidifying its market position in inference computing.
- Production and Market Strategy: The LPX chip is currently in volume production at third-party manufacturer Samsung and will be offered in server racks containing 256 LPX processors, with Nvidia planning to enhance overall data center performance by integrating LPX with Vera Rubin servers to meet diverse workload demands.
- Revenue Outlook Update: Nvidia expects orders for its Blackwell and Vera Rubin chips to reach $1 trillion by 2027, a significant increase from the $500 billion previously mentioned, reflecting strong confidence in future demand and potentially leading to upward revisions in market expectations for its 2027 data center revenue.
- Market Reaction and Analysis: Following Jensen Huang's announcement of the $1 trillion order outlook, Nvidia's stock briefly rose to $188.88 before closing at $183.22, with analysts suggesting that this news will bolster investor confidence in the sustainability of future AI spending, particularly in an active capital market environment.
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Analyst Views on NVDA
Wall Street analysts forecast NVDA stock price to rise
41 Analyst Rating
39 Buy
1 Hold
1 Sell
Strong Buy
Current: 167.520
Low
200.00
Averages
264.97
High
352.00
Current: 167.520
Low
200.00
Averages
264.97
High
352.00
About NVDA
NVIDIA Corporation is a full-stack computing infrastructure company. The Company is engaged in accelerated computing to help solve the challenging computational problems. The Company’s segments include Compute & Networking and Graphics. The Compute & Networking segment includes its Data Center accelerated computing platforms and artificial intelligence (AI) solutions and software; networking; automotive platforms and autonomous and electric vehicle solutions; Jetson for robotics and other embedded platforms, and DGX Cloud computing services. The Graphics segment includes GeForce GPUs for gaming and PCs, the GeForce NOW game streaming service and related infrastructure, and solutions for gaming platforms; Quadro/NVIDIA RTX GPUs for enterprise workstation graphics; virtual GPU software for cloud-based visual and virtual computing; automotive platforms for infotainment systems, and Omniverse Enterprise software for building and operating industrial AI and digital twin applications.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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- Cautious Market Outlook: Given the risks of economic slowdown and the potential bursting of the AI bubble, investors may need to keep Nvidia on their watchlist rather than rushing to buy, to avoid losses amid market volatility.
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