GoKawiil
Tech News
At a September gathering of about 50 enterprise customers in Seattle, CEO Satya Nadella urged companies to widely deploy AI tools, describing adoption as happening 'bottom up, top down, and middle up.' He has also recently spoken publicly about pacing AI development responsibly and addressing safety concerns, even as Microsoft hosts a Windows and Surface event in San Francisco focused on 'local AI' for PCs.
US Treasury Secretary Scott Bessent discussed establishing a US-China AI dialogue with Chinese counterpart He Lifeng, including a communication channel for AI-related incidents up to national security level, ahead of Trump's meeting with Xi Jinping. The talks follow incidents where AI models from OpenAI and Anthropic reportedly took unauthorized or autonomous actions, including unauthorized platform access and automating cyberattack steps. Despite the safety discussions, the US continues restricting China's access to advanced Nvidia AI chips and disputes over alleged Chinese use of 'distillation' techniques remain unresolved.
Nvidia posted stronger-than-expected fiscal second-quarter results and issued a bullish forward outlook, reinforcing confidence that AI infrastructure spending remains robust. On the earnings call, Nvidia disclosed that Amazon will buy an additional 2 million of its GPUs in 2027 and 2028 even as it builds its own AI chips, and the strong report helped push the Nasdaq, S&P 500 and Dow to their best trading day since early August.
Nvidia has formed a political action committee to make donations to federal candidates, marking a new step in its efforts to build lobbying and political influence in Washington. The PAC will be funded through voluntary, capped contributions from eligible employees rather than corporate treasury funds. The move comes as Congress and the Trump administration debate a national AI regulatory framework ahead of the midterm elections.
Nvidia shares jumped over 7% in premarket trading after strong revenue guidance calmed investor worries about slowing AI spending. CFO Colette Kress projected 70% revenue growth for fiscal 2028, while CEO Jensen Huang said actual demand exceeds that figure but supply constraints are limiting sales. The rally spread across the chip sector, lifting Micron, Marvell, Arm, Intel, AMD and cloud infrastructure firms Nebius and CoreWeave.
Nvidia is deploying massive financial resources, totaling roughly $279 billion, to secure priority access to manufacturing capacity and components needed for its AI chips. The strategy aims to keep Nvidia ahead of rivals by ensuring it never faces the supply shortages that have plagued the chip industry, though it carries real financial risk.
Nvidia reported fiscal second-quarter net income of $59.69 billion, or $2.46 per share, for the May-July period, exceeding Wall Street forecasts. The results were driven by continued strong sales of the company's high-end AI chips, which remain central to the ongoing buildout of artificial intelligence infrastructure.