NVIDIA has once again surpassed market expectations with its third-quarter 2025 earnings, reporting $57 billion in revenue, $2 billion above analyst predictions. The substantial growth was primarily driven by its data center business, which supplies the crucial GPU chips for AI models.
The company forecasts even higher revenue of $65 billion for the fourth quarter of 2025. NVIDIA CEO Jensen Huang described the sales of its latest Blackwell chips as "off the charts" and stated that cloud GPUs are sold out, indicating a rapidly scaling AI ecosystem.
This strong performance provides significant breathing room for other AI-dependent companies, such as OpenAI and Microsoft, to demonstrate revenue growth from their AI services. Despite NVIDIA's apparent strength, a potential challenge exists with Google's recent announcement of its Gemini 3 AI model, trained on Google's own Tensor Processing Units (TPUs) rather than NVIDIA GPUs.
Should Google become a major player in the AI chip market, it could lead to price wars, which might ultimately benefit AI service providers by reducing compute costs. Consequently, while the AI bubble is not expected to burst immediately, its eventual fate remains uncertain, with the next NVIDIA earnings report in January 2026 being a key indicator.
