Nvidia's supply issues restrict delivery despite a surge in demand

Nvidia's supply issues restrict delivery despite a surge in demand

Nvidia expects strong demand for its advanced AI chips despite supply chain constraints and a recently fixed design flaw in its Blackwell processors.

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World

SAN FRANCISCO- 22 NOV - Nvidia expects strong demand for its advanced AI chips despite supply chain constraints and a recently fixed design flaw in its Blackwell processors.Limited production capacity at TSMC and complex manufacturing processes are expected to restrict supply until 2026, impacting revenue growth and margins.

Despite these hurdles, Nvidia has shipped 13,000 samples of its new chip and anticipates exceeding sales projections this quarter. Analysts attribute slower revenue growth to tough comparisons after last year's AI boom, but demand for Nvidia's industry-leading chips remains robust.

FILE: Nvidia CEO Jensen Huang presenting the NVIDIA Blackwell platform at an event ahead of the COMPUTEX forum, in Taipei, Taiwan June 2, 2024. - REUTERS PIC

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