Nvidia Dominates CES, Meta Dials Back on Fact Checking | Bloomberg Technology
>> FROM THE HEART OF WHERE INNOVATION, MONEY, AND POWER COLLIDE, IN SILICON VALLEY AND BEYOND, THIS IS "BLOOMBERG TECHNOLOGY." WITH CAROLINE HYDE AND ED LUDLOW. CAROLINE: LIVE FROM NEW YORK, THIS IS "BLOOMBERG TECHNOLOGY." NVIDIA TAKES CENTER STAGE AT CES WITH NEW HARDWARE, SOFTWARE, AND SERVICES. WE SIT DOWN WITH JEN-HSUN HUANG LATER THIS HOUR. MEDIC CUTS ITS TEAM OF FACT CHECKERS. IN THE U.S.
PLACES SOME OF GIANTS -- CHINA'S BIGGEST TECH GIANTS ON ITS OWN INTO A BLACKLIST. THE KEY STOCK YOU HAVE TO WATCH TODAY, IT IS THE MOST VALUABLE AND IT DIVES BY 4.5 PERCENT. NVIDIA LOSING ITS PREMARKET GAINS. WE HAD TOUCHED A RECORD HIGH AND THEN WE SEE THE BOYS DAY SINCE SEPTEMBER. WHY? WE GOT A WHOLE RAFT OF SERVICES -- OF PRODUCTS, FROM PCS AND GAMING, BUT IS IT THE HERE AND NOW? THE BLACK L PROGRAM THAT WE DON'T GET ENOUGH DETAIL ON? LET'S HEAD OUT TO LAS VEGAS. A BIG STORY IS NVIDIA AND THE CEO UNVEILING THESE PRODUCTS.
WE HAVE NONE OTHER THAN A KEY FOCUS ON THE GAMER, THE ORIGINAL CUSTOMER FROM JEN-HSUN HUANG. HAVE A LISTEN. JEN-HSUN: WE USED A GEFORCE TO ENABLE ARTIFICIAL INTELLIGENCE, AND NOW ARTIFICIAL INTELLIGENCE IS UTILIZING GEFORCE. EVERYONE, TODAY WE ARE ANNOUNCING OUR NEXT GENERATION. THE RTX BLACKWELL FAMILY. CAROLINE:
LET'S GO TO OUR GAMER IN RESIDENCE, ED LUDLOW, ON THE GROUND AT CES. THEY WERE GOING BACK TO THE ROOTS. BUT THE STOCK DOESN'T LIKE IT. ED: YEAH, I MEAN WE HAVE BECOME SO ACCUSTOMED TO THE NVIDIA STORY OF BEING DOMINANT IN THE MARKET FOR HIGH-PERFORMANCE GPU’'S THAT GO INTO DATA CENTERS AND TRAIN AI MODELS, FOUNDATION MODELS, THAT IT IS A GOING BACK TO ITS ROOTS STORY. TAKING THE WORK IT HAS DONE ON
THOSE AI ACCELERATORS AND PUTTING THEM INTO A FACTOR THAT IS MORE RELEVANT TO THE CONSUMER. DEVELOPERS IN PARTICULAR. MAYBE THE MARKET DOES NOT UNDERSTAND THAT STORY. THERE WAS PLENTY OF BIG PICTURE FROM JEN-HSUN HUANG. BLACKWELL IS IN FULL PRODUCTION. A KIND OF TIMELINE OR MOVE INTO PHYSICAL AI.
ROBOTICS WAS DRIVING. ON THE CONVERSATIONS WE HAD AROUND DIVERSIFYING REVENUE, AND HUNDRED BILLION DOLLARS OF REVENUE IS STILL DATA CENTER CHIPS. INCREASINGLY THOSE HIGH-PERFORMANCE GRAPHICS CARDS THAT GO INTO THE DESKTOP, LAPTOPS, AND SOMETHING CALLED PROJECT DIGITS.
THERE IS A LOT TO DISCUSS. CAROLINE: ALL HIGHS ON THE $3000 PC FOR AI DEVELOPERS. WE GOT SOME ISM DATA. WE GOT YELLED SPIKING HIGHER. NO WONDER SOME OF THE BIG TECH NAMES ARE UNDER PRESSURE. MICRON IS STILL LEADING THE CHARGE AS ITS MEMORY IS GOING TO BE WITHIN THE NVIDIA OFFERING. THERE WAS A LOT TO BE HAD FOR SOME OF THE PARTNERSHIPS AT PLAY. ED:
YEAH, AND AS YOU KNOW, IT IS BLOOMBERG'S POLICY NOT TO GIVE QUESTIONS IN ADVANCE OF INTERVIEW. PROBABLY THE ONE BIG QUESTION IS THE SUSTAINABILITY OF THE INVESTMENT INTO AI. THOSE OF CHIP NAMES ARE PUSHING HIGHER BECAUSE WHEN AN INVESTMENT IS MADE INTO A HIGH-PERFORMANCE GPU A GOES IN COMBINATION WITH EMORY CHIPS, OTHER CPUS, AND TELEMATICS FROM THOSE PROVIDERS.
THAT IS THE KEY QUESTION FOR JENSEN. I SEE A BIT OF A CONCERN ABOUT INFLATION IN THE MARKET THIS MORNING. JENSEN HAS A LOT OF WORLDVIEWS, WHETHER HE WILL TALK TO ME ABOUT INFLATION WE WILL HAVE TO WAIT AND SEE. CAROLINE:
WE CANNOT WAIT FOR THE CONVERSATION. YOU WILL SEE YOU A LITTLE BIT LATER. LET'S GET AN INVESTORS TAKE ON THE HERE AND NOW, LACK OF HIS ABILITY ON BLACKWELL OR THE FUTURE-PROOFING OF THE BUSINESS MODEL. CBIZ INVESTMENT CEO ANNA RATHBUN. IT IS 9:30 P.M. NEW YORK TIME WHEN WE HEARD JEN-HSUN HUANG ON STAGE. ARE YOU IN LINE WITH SOME OF
THESE ANALYSTS SAYING, NOT ENOUGH ON THE BLACK PLATFORM? ANNA: YEAH. THERE WERE NOT THAT MANY DETAILS THAT INVESTORS WERE HOPING FOR. BUT IF YOU HAVE TO TALK FOR 90-MINUTES-PLUS I'M NOT SURE YOU CAN FILL THAT TIMELINE WITH A LOT OF DETAILS ABOUT THE BUSINESS. PLUS, HE IS KICKING OFF A CONFERENCE. YOU SORT OF WANT TO BE A
VISIONARY AND THERE IS THIS LITTLE SLAB OF ROMANTICISM ABOUT A THROWN IN THERE. I THINK MAYBE IT WAS THE WRONG PLATFORM TO REALLY WAIT FOR SOME OF THOSE DETAILS, BUT I KNOW THE EXCITEMENT WAS BUILT INTO THE STOCK ARCADE, CERTAINLY YESTERDAY. I CAN UNDERSTAND DISAPPOINTMENT, BUT AT THE SAME TIME MAYBE WE NEED TO WAIT FOR THE EARNINGS REPORT. ED: WE ARE CURRENTLY SHOWING A FIVE-DAY CHART WHICH GIVES US THE CONTEXT. WE ARE MAYBE SEEING SOME PROFIT TAKEN HERE A LITTLE BIT. WHAT DID YOU MAKE OF WHAT IT MEANS FOR ITS ULTIMATE LEADERSHIP IN TECHNOLOGY? DO OTHERS EVEN STAND A CHANCE HERE? ANNA: I THINK THE LEADERSHIP -- PART OF THE VISIONARY TALK WAS ESTABLISHING THAT LEADERSHIP. I THINK NVIDIA WANTS TO BE A
LEADER AND WANTS TO CONTINUE TO BE A LEADER, SO YOU ARE TAKING THINGS LIKE CAMINO, SELF DRIVING CARS AND PARTNERSHIP WITH TOYOTA . THOSE ARE REAL THINGS THAT CAN TURN INTO CASH FLOW. BUT THEN YOU HAVE VISIONARY THINGS LIKE HUMANOID HAND CHATGPT TURNING INTO ROBOTICS, RIGHT? NOT TURNING INTO, BUT ROBOTICS HAVING A MOMENT. THESE ARE THE THINGS I THINK IN-STAT -- THINK ESTABLISH NVIDIA, AT LEAST IN RHETORIC, AS A CONTINUED LEADER IN AM OF THE SPACE.
WHETHER OR NOT AMD AND OTHER PLAYERS CAN CATCH UP, I DO THINK THAT NVIDIA HAS A LARGE, YOU KNOW, SORT OF MONOPOLY IN THE SPACE. THE REALITY OF CATCHING UP TO NVIDIA, I THINK, IS STILL A DIFFICULT FEAT. ED: PERHAPS LEANING INTO THE PC SIDE OF THE BUSINESS RATHER THAN TALK UP AI ACCELERATORS AND THE DATA CENTER PART. TO THAT POINT, ARE YOU FEELING COMFORTABLE THAT WE ARE SEEING DIVERSIFICATION, OR AT LEAST THE DEMAND FOR INFRASTRUCTURE IS STILL THERE? MICROSOFT, $80 BILLION THEY ARE GOING TO SPEND IN 2025 SEEMS TO SIGNAL THAT. ANNA: I DON'T THINK THIS AI VENTURE IS GOING TO STOP. CERTAINLY THE LIKES OF MICROSOFT AND SOME OF THESE BIG COMPANIES ARE PUTTING BIG DOLLARS INTO IT, BUT WE CANNOT FORGET ABOUT THE PRIVATE SIDE EITHER.
THERE ARE A LOT OF VENTURE COMPANIES THAT ARE GOING TO REQUIRE, AS THEY ARE DEVELOPING APPLICATIONS FOR REAL BUSINESSES ON THE USER END, THEY ARE GOING TO HAVE TO LEAN INTO SOME OF THAT INFRASTRUCTURE I'M ALIKE DATA CENTERS, AND ULTIMATELY ENERGY TOO. BUT THAT IS NOT A CONVERSATION FOR TODAY. I THINK DEMAND FOR THIS IS NOT GOING TO EASE UP. ED: CAN YOU GIVE US YOUR MACRO PURSE? WE WERE TALKING ABOUT HOW MAYBE WE ARE SEEING THAT FEED INTO THE STOCK WEAKNESS. DO YOU STILL IN THE BACK OF
YOUR MIND, THINKING ABOUT INFLATIONARY PRESSURE, DOES THAT HAVE ANY WEIGHT ON A COMPANY THAT IS SO FOCUSED ON FOR ITS INNOVATION? ANNA: WHEN I THINK ABOUT MACRO HEADWINDS SUCH AS INFLATION AND PRICES I THINK ABOUT WHO HAS THE PRICING POWER, RIGHT? IF YOU ARE NVIDIA AND YOU HAVE DOMINANCE IN A MARKETPLACE YOU HAVE THE PRICING POWER. I DON'T THINK NVIDIA IS NECESSARILY THINKING ABOUT WHETHER OR NOT THEY HAVE -- THEY CAN PASS DOWN ANY KIND OF INFLATION OR PRICE INCREASES. I THINK IT IS REALLY ON THE CONSUMER END. IT IS ON THE END OF THE OTHER MAG SEVEN, THAT NEED TO DEVELOP THE R&D ASPECT OF IT. THEY ARE GOING TO HAVE TO WORRY ABOUT THE INFLATION PORTION. ED: IF YOU ARE LOOKING AT A PORTFOLIO AT THE START OF 2025 AND THE ABOUT HOW YOU ARE GOING TO BE CHANGING UP, DO YOU MAKE ANY KEY CHANGES ON THE BACK OF THE LATEST REVELATORY POINTS? ANNA: OUR POSITION IS IT IS GOING TO BE HIGHER FOR LONGER, AND TERMS OF INFLATION AND RATES. NEVER REALLY THOUGHT THAT
INFLATION COULD GO DOWN TO 2%. I DON'T WANT TO USE THE WORD SAFELY. NOW CAUSING SOME KIND OF SLOWDOWN IN THE ECONOMY. WRINKLY, EVEN IF IT DOES IT IS REALLY IN THE CYCLICAL AREAS OF THE ECONOMY. I THINK TECH HAS SOME IMMUNITY, SIMPLE BECAUSE THERE IS WAY TOO MUCH MOMENTUM GOING INTO THIS AI VENTURE. ED: ANNA RATHBUN, SO GOOD TO HAVE
YOU. STAY WELL. COMING UP, MATTER CUTS BACK ON FACT CHECKING ACROSS IT MEDIA PLATFORMS. MORE ON THAT NEXT. THIS IS "BLOOMBERG TECHNOLOGY." ♪ CAROLINE: MORE BIG NEWS OUT OF META. IT WILL END THIRD PARTY FACT CHECKING ON ITS SOCIAL MEDIA PLATFORMS, SAYING MODERATION WENT TOO FAR. THE COMPANY WILL ALLOW USERS TO COMMENT ON A POST'S ACCURACY. THIS FOLLOWS SOME NOTABLE CHANGES TO ITS BOARD AS WELL.
FOR MORE, BLOOMBERG'S LYNN JOANNE JOINS US. FASCINATING. ULTIMATELY RELYING ON ITS USER BASE NOW. >> AS YOU SAID, IT FURTHER ALIGNS META TO THE X APPROACH OF MODERATION AND FACT CHECKING, WHICH IS TO SORT OF CROUCH CAP -- CROWD SOURCE. ONE CANNOT IGNORE THE
UNDERLYING TREND HERE. IT IS CLEAR THAT IN THE PAST SEVERAL MONTHS MARK ZUCKERBERG HAS TRIED TO REPAIR, IF YOU WILL, HIS RELATIONSHIP WITH INCOMING PRESIDENT DONALD TRUMP. THAT HAS BEEN A RELATIONSHIP THAT HAS IN THE PAST BEEN ADVERSARIAL. I DON'T NEED TO REMIND YOU THAT AT ONE POINT TRUMP WAS SUSPENDED ON META'S PLATFORMS AND HAS SINCE BEEN REINSTATED.
SINCE THEN ZUCKERBERG HAS CONTRIBUTED TO HIS INAUGURATION FUND AND MADE EFFORTS TO MAKE APPOINTMENTS THAT WOULD BE MORE CONDUCIVE TO A RELATIONSHIP WITH TRUMP ADMINISTRATION. CAROLINE: HE WAS INTERESTING THAT THIS WAS THE FIRST ANNOUNCEMENT COMING FROM JOEL KAPLAN, WHO IS THE CHIEF GLOBAL AFFAIRS OFFICER. WE ARE NOT ONLY GETTING A MORE RIGHT-LEANING GLOBAL AFFAIRS OFFICER, BUT ALSO DANA WHITE COMING TO THE BOARD.
>> THAT'S RIGHT. A NO WHITE WAS A VERY VOCAL TRUMP SUPPORTER. -- DANA WHITE WAS A VERY VOCAL TRUMP SUPPORTER. A GOOD FIT, BECAUSE, YOU KNOW, DANA WHITE AND MARK ZUCKERBERG HAVE A PRE-EXISTING RELATIONSHIP. THEY SHARE A VERY STRONG INTEREST IN THE SAME SPORT.
IN A LOT OF WAYS IT MAKES SENSE FOR MARK AND WHAT HE IS TRYING TO DO WITH THAT RELATIONSHIP WITH TRUMP. MIGRATION FROM THE FACT CHECKING TEAM FROM CALIFORNIA TO TEXAS, AS YOU MENTIONED, IS AN INTERESTING 1-2. I THINK THE BIGGER QUESTION IS, WILL THERE BE A BROADER PULLBACK AT META AND SOME OF THE SOCIAL MEDIA PLATFORMS WITH THIS INCOMING ADMINISTRATION ACROSS ALL CONTENT MODERATION? WILL THERE BE A PULLBACK IN THE MONITORING OF DISTURBING CONTENT? I THINK THAT IS THE BROADER QUESTION TO ASK. CAROLINE: THAT LEADS US TO OUR NEXT CONVERSATION. AS META PARES BACK IT'S FACT CHECKERS THERE IS EXCLUSIVE REPORTING SHOWING THE FBI AND DEPARTMENT OF HOMES LAND -- AND HOMELAND SECURITY SCALED BACK EFFORTS TO DISRUPT VIOLENT EXTREMISTS ONLINE ACTIVITIES.
THE FEAR THAT THE TREND WILL ACCELERATE UNDER TRUMP. THAT REPORTING COMES FROM JEFF STONE. YOU ARE WORKING OUT HERE THAT BASICALLY THE DEPARTMENT OF HOMELAND SECURITY AND OTHER AGENCIES HAVE NOT WANTED TO TIP OFF THE SOCIAL MEDIA COMPANIES AS MUCH? JEFF: THAT'S RIGHT. SINCE THE SOCIAL MEDIA COMPANIES , META BEING ONE OF THEM, FORMERLY TWITTER BEING ONE OF THEM, HAVE A LONG HISTORY OF FLAGGING FALLS COVID-RELATED INFORMATION, MISINFORMATION AROUND THE VACCINES, THERE HAS BEEN PUSHED BACK IN WASHINGTON ENCOURAGING THEM NOT TO DO THAT. THE DEPARTMENT OF HOMELAND SECURITY AND THE FBI HAVE KIND OF BECOME COLLATERAL DAMAGE IN THAT FIGHT, AND THEY ARE NOW RELUCTANT AND PREVENTED IN SOME CASES BY LAW FROM DEALING WITH SOCIAL MEDIA FIRMS TO REMOVE SOME OF THIS REALLY INCENDIARY, VIOLENT MISINFORMATION. CAROLINE:
AND YET THIS COMES BUT DAYS AFTER THE NEW YEAR'S DAY ATTACK ON A TRUMP HOTEL, WHAT HAPPENED IN NEW ORLEANS. THE IDEA THAT EXTREMIST CONTENT IS NOT GOING TO BE IS MONITORED FEELS PRETTY SCARY. JEFF: THAT'S RIGHT. THERE IS CERTAINLY A TREND WHERE WE ARE SEEING THESE EXTREMIST ATTACKS, IN ALMOST EVERY CASE THE PERPETRATORS CARRYING OUT THESE ATTACKS ARE OFTEN TALKING ABOUT THEM ONLINE, WHETHER ON SITES LIKE META OR DISCORD, AS IS THE CASE WITH THE MASS SHOOTER EVENT OF BUFFALO. THE FBI AND DHS ARE GOING TO CONTINUE TO INVESTIGATE BASED ON LEADS ONLINE BUT THEY ARE NOT GOING TO INTERACT WITH SOCIAL MEDIA COMPANIES TO REMOVE THAT CONTENT PROACTIVELY. THEY ARE GOING TO LEAVE THAT TO THE SOCIAL MEDIA FIRMS.
CAROLINE: WITHIN YOUR STORY YOU BUILD OUT THE CASE THAT -- THERE IS A KEY COURT RULING HERE THAT HAS PUSHED THE DHS AND FBI, BUT ALSO THERE IS LESS MONEY GOING TO EXTERNAL THIRD-PARTY RESEARCHERS AS WELL, RIGHT? JEFF: THAT'S RIGHT. EXTERNAL THIRD-PARTY RESEARCHERS ARE A KEY COMPONENT IN THIS ECOSYSTEM. THEY DO A LOT OF WORK ON BEHALF OF SOCIAL MEDIA COMPANIES TO PROACTIVELY FLAG AND DETECT AND REMOVE SOME OF THIS REALLY EXTREMIST, VIOLENT MATERIAL. IT GOES BEYOND MISINFORMATION.
THEY ARE TAKING SIGNIFICANTLY LESS FUNDING FROM THE GOVERNMENT BECAUSE OF SOME OF THE POLITICAL CONNOTATIONS AND DISPUTES AROUND THIS. SPECIFICALLY SOME OF THESE RESEARCHERS USED TO RECEIVE TENS OF MILLIONS OF DOLLARS, WHEREAS LAST YEAR THE DEPARTMENT OF HOMELAND SECURITY GIVE THEM ZERO DOLLARS FOR INTERNET-RELATED RESEARCH. CAROLINE: EXCLUSIVE REPORTING, JEFF STONE, WE THANK YOU SO MUCH. COMING UP, THE U.S. PLACES SOME OF CHINA'S BIGGEST TECH GIANTS ON ITS MILITARY BLACKLIST. LET'S CHECK IN ON THE STOCK OF THE DAY. NVIDIA OFF BY 5%. IT HAD RALLIED HARD INTO JANUARY. PROFIT-TAKING OR DISAPPOINTMENT
ON LACK OF DETAILS AROUND THE BLACK WHILE PLATFORM? YOU WILL HAVE AN EXCLUSIVE -- NONEXCLUSIVE, BUT A FIRST CONVERSATION WITH JEN-HSUN HUANG LATER THIS HOUR. THIS IS "BLOOMBERG TECHNOLOGY." ♪ CAROLINE: NOW, THE U.S. HAS JUST ADDED CHINA'S MOST VALUABLE COMPANY, TENCENT, AS WELL AS CATL TO ITS LIST OF CHINESE MILITARY COMPANIES. IT COULD ACCELERATE THE
DECOUPLING OF THE WORLD'S BIGGEST ECONOMIES. WE NEED TO GET OUT TO MIKE SHEPPARD. THIS SEEMED TO COME OUT OF NOWHERE YESTERDAY.
EVEN TENCENT ITSELF THOUGHT IT MIGHT BE A MISTAKE. MIKE: THEY WERE REALLY CAUGHT OFF GUARD, AS A LOT OF US IN WASHINGTON WERE. IT SHOWED UP IN THE FEDERAL REGISTER. THE PENTAGON JUST DROPPED IT IN THERE. BUT THERE IS PRECEDENT. IT DATES BACK TO 2020.
UNDER AN EXECUTIVE ORDER DONALD TRUMP ASKED THE DEFENSE DEPARTMENT TO LOOK FOR COMPANIES IN CHINA THAT HAD TIES OR CONTROL BY CHINA'S MILITARY. THE CONCERN IS THAT THIS NEXUS BETWEEN CHINA'S MILITARY AND THE BUSINESS COMMUNITY IN CHINA POSES A RISK TO GLOBAL SECURITY. AS A RESULT WE SEE THIS LISTING. IT IS IMPORTANT TO NOTE THAT
THERE IS NO SANCTION ATTACHED TO IT. HOWEVER, THERE IS SOMETHING THAT WOULD DISCOURAGE U.S. FIRMS FROM DOING BUSINESS WITH ANYBODY WHO IS ON THIS LIST. CAROLINE: I THINK THERE WAS A WORRY THEY WOULD BE FORCED TO DEAL LIST. IS THERE ANY REALITY IN THAT? CERTAINLY TENCENT CAME OUT WITH A STATEMENT SAYING THIS DOES NOT AFFECT OUR BUSINESS IN THE HERE AND NOW. MIKE: THAT IS A GOOD QUESTION AND IT WAS ONE WE WERE CHASING DOWN YESTERDAY. AS FAR AS WE CAN TELL THERE IS
NO IMMEDIATE THREAT OF DELISTING AS A RESULT OF THIS. BUT IT DOES PROMPT COMPANIES HERE, AS I SAID, TO REVISIT AND RETHINK RELATIONSHIPS WITH TENCENT AND OTHERS. THERE ARE NOW 121 CHINESE COMPANIES ON THIS PENTAGON LIST THAT SUBJECT THEM TO SOME ADDITIONAL SCRUTINY ABOUT THEIR RELATIONSHIP WITH CHINA'S MILITARY. THE LIST ALSO INCLUDES SEE ATL, WHICH IS ONE OF THE WORLD'S BIGGEST BATTERY MAKERS. THEY ARE CRITICAL TO POWERING THE ELECTRIC VEHICLE REVOLUTION GLOBALLY, BUT THEY HAVE ALSO BEEN THE FOCUS OF A LOT OF ATTENTION, ESPECIALLY FROM CONGRESS. INCLUDING MARCO RUBIO, WHO WHEN HE WAS IN THE SENATE ZEROED IN ON CATL AS A SECURITY RISK.
CAROLINE: READ THOSE TEA LEAVES. MY REACTION IS, SEE ATL IS A SUPPLIER TO TESLA AND ELON MUSK IS NOT GOING TO LIKE THAT. HE HAS THE EAR OF TRUMP, BUT THEN MARCO RUBIO DOES NOT MUCH LIKE CATL. MIKE: THE TEA LEAVES ARE TOUGH TO
READ HERE. THAT IS IN PART BECAUSE WE DO SEE THIS DIVISION OF LOYALTIES. THIS IS ALSO PLAYING OUT WITH THE TIKTOK BAND THAT IS ABOUT TO GO INTO EFFECT ON JANUARY 19, UNLESS THE COMPANY IS ABLE TO PERSUADE THE SUPREME COURT TO OVERTURN THIS DIVEST OR BAN LAW. DONALD TRUMP HAS MADE CLEAR HE WOULD LIKE TO SEE TIKTOK SURVIVE AS ITS OWN ENTITY TO EXIST ON ITS OWN AND NOT BE BANNED. TO SOMEHOW EVADE THIS SANCTION AS THE RESULT OF A NEW LAW, AND ALSO THAT MARCO RUBIO HELPED PUSH THROUGH. WE WILL SEE THESE TENSIONS PLAYING OUT BETWEEN SOME OF THE BUSINESS INTERESTS, INCLUDING FROM ELON MUSK AND OTHERS, PLAYING OUT IN THE WHITE HOUSE.
THEY ARE TRYING TO GET TOUGH ON CHINA, YET NEED THIS CONNECTION THEMSELVES. CAROLINE: AS SHOCKING AS IT MIGHT BE FOR MANY THAT A GAMING PLATFORM MAY BE DEEMED A MILITARY-RELATED ORGANIZATION, THERE IS ALSO PAST TENSE. WE HAVE SEEN XAOMI HAS MANAGED TO GET ITSELF OFF THE LIST. SO THERE IS POTENTIAL HOPE HERE. MIKE: THERE IS. THESE COMPANIES HAVE A WAY TO APPEAL THIS. THEY CAN EVEN TAKE IT TO COURT AND CONTEST THE LISTING.
A NUMBER OF COMPANIES HAVE BEEN ABLE TO GET THEMSELVES REMOVED AND STRUCK FROM THE LIST. HOWEVER, WHEN WE TALK ABOUT TENCENT LET'S TURN BACK THE CLOCK AGAIN TO 2020, WHEN DONALD TRUMP ASKED -- DONALD TRUMP INITIALLY TRIED TO BAN TIKTOK HE ALSO WENT OFF OF TENCENT'S WE CHAT APP, WHICH IS THIS COMMUNICATIONS AND PAYMENTS PLATFORM THE U.S. GOVERNMENT HAD YOU'D AS A RISK IN THE U.S. BY ANYBODY USING IT HERE. THERE IS NOT NEARLY AS MUCH USE
OF WE CHAT AS TIKTOK, BUT WE SEE THE SAME ARGUMENT IN PLAYED OUT WITH TENCENT BACK THEN, AND PERHAPS AN ECHO OF IT NOW. ED: CAROLINE: MIKE SHEPPARD, WE THANK YOU SO MUCH. NOW IT IS TIME FOR TALKING TECH. AMD HAS ANNOUNCED ITS CHIPS WILL BE USED BY DELL.
THE SECOND-BIGGEST MAKERS OF PROCESSORS UNVEILED NEW CHIPS AND SAID IT WILL HELP TO MAKE AMD-BASED PCS THE BEST AT RUNNING AI SOFTWARE. DELL IS REBRANDING ITS PCS IN AN APPLE-LIKE WAY. GONE ARE NAMES LIKE X PIANO AND SPIRALING.
INSTEAD OUR DELL, DELL PRO, AND DELL MAX. LG IS PARTNERING WITH MICROSOFT TO USE A ITECH IN ITS CONSUMER ELECTRONICS. THE COMPANIES ARE SET TO COLLABORATE, MEANWHILE MICROSOFT WILL WORK WITH LG IN ITS AI DATA CENTERS, USING LG'S THERMAL MANAGEMENT SYSTEMS FOR ITS FACILITIES. MEANWHILE, WE HAVE A FEW HEADLINES FOR YOUR COMING OFF AN ONLINE EVENT BEING HOSTED BY JP MORGAN. THE NVIDIA CFO SPEAKING OUT ABOUT BLACKWELL SHIPMENTS, SAYING IT IS ON TRACK, AS EXPECTED. INTERESTING THAT PERHAPS THE MARKET HAD AN UP ENDED AFTER A LACK OF DETAIL ON BLACK. THAT'S GET YOU SOME BREAKING
NEWS -- BREAKING NEWS FROM MAR-A-LAGO. TRUMP TAKING TO THE STAGE. LET'S LISTEN IN. >> VERY EXCITING FOR OUR COUNTRY, AND WE ARE HONORED TO WELCOME ONE OF THE MOST RESPECTED BUSINESS LEADERS IN THE MIDDLE EAST. INDEED, THE WORLD. >> FACT THAT HE WAS VERY INSPIRED BY THE ELECTION.
THEY WOULD NOT DO THAT WITHOUT THE ELECTION. A LOT OF PEOPLE WOULDN'T. YOU SAW LAST WEEK WHERE WE HAVE SOMEBODY WHO IS GOING TO GO FROM $100 BILLION TO $200 BILLION. WE HAVE A LOT OF PEOPLE, AND WE
WILL BE BRINGING SOME OF THEM OUT. SOME OF THEM LIKE TO DO IT SOMEWHAT MORE QUIETLY HIM AND SOME OF THEM DON'T AND THEY FEEL SO STRONGLY ABOUT THE COUNTRY THAT THEY WANT TO LET PEOPLE KNOW ABOUT IT. IT IS AN HONOR TO HAVE SUCH GREAT INVESTOR INVESTING IN OUR COUNTRY. THE INVESTMENT WILL SUPPORT DATA CENTERS ACROSS THE MIDWEST. THE SUNBELT AREA AND
ALSO TO KEEP AMERICA ON THE CUTTING EDGE OF TECHNOLOGY AND ARTIFICIAL INTELLIGENCE IS VERY BIG INTO THE DATA CENTERS. THAT IS GOING TO BE A VERY HOT ITEM IN THE COMING YEARS, AS YOU KNOW, WITH AI IN PARTICULAR. THE FIRST PHASE OF THE PROJECT WILL BE IN TEXAS, ARIZONA, OKLAHOMA, LOUISIANA, OHIO, MICHIGAN, AND INDIANA. THOSE PLACES. HUSSEIN, I WOULD LOVE YOU TO COME UP AND SAY A FEW WORDS. THANK YOU.
>> THANK YOU, MR. PRESIDENT. IT HAS BEEN AMAZING NEWS FOR ME AND MY FAMILY. WHEN HE WAS ELECTED IN NOVEMBER. WE HAVE BEEN WAITING FOUR YEARS TO INCREASE OUR INVESTMENTS IN U.S. TO VERY LARGE AMOUNT OF MONEY. WE HAD A COMPANY OPERATING IN MORE THAN 20 COUNTRIES AROUND THE WORLD. HAVE DELIVERED MORE THAN 45,000 LUXURY UNITS AND ANOTHER 45,000 IN THE PIPELINE.
IN DATA CENTER WE ARE IN 10 COUNTRIES AROUND THE WORLD. IN ASIA, EUROPE, AND MIDDLE EAST, AND WE ARE VERY EXCITED NOW WITH HIS LEADERSHIP AND HIS OPEN STRATEGY AND POLICY TO ENCOURAGE BUSINESSES TO COME TO U.S. FOR THE LAST FOUR YEARS WE HAVE BEEN WAITING FOR THIS MOMENT AND PLANNING TO INVEST $20 BILLION, AND EVEN MORE THAN THAT IF THE OPPORTUNITY ALLOWS US. AT THE MOMENT WE ARE PLANNING $20 BILLION IN DATA CENTER, CATERING FOR THE AI AND CLOUD BUSINESS FOR THE HYPERSCALERS.
>> FANTASTIC. GREAT HONOR. THANK YOU VERY MUCH. SO NICE. AND THAT MAN KNOWS WHAT HE IS DOING. HE KNOWS. SO, HUSSEIN, WE ARE GOING TO WORK WITH YOU AND MAKE SURE EVERYTHING GOES SMOOTHLY. WE HAVE POWERS THAT HAVE NOT
REALLY BEEN USED IN TERMS OF ENVIRONMENTAL. IF YOU INVEST OVER $1 BILLION IN THE UNITED STATES WE ARE GOING TO GIVE EXPEDITED REVIEWS TO EVERYBODY, BECAUSE EVERYBODY IS AFRAID THEY ARE GOING TO GET CAUGHT IN THE QUIET WIRE, WHICH IS VERY PREVALENT IN THE UNITED STATES, UNFORTUNATELY. THE QUAGMIRE OF ENVIRONMENTAL AND OTHER REGULATIONS AND RULES. I MADE IT A POINT OF TELLING PEOPLE, IF YOU INVEST $1 BILLION OR MORE -- AND WE WILL DO THIS FOR PEOPLE WITH FAR LESS TOO, BUT WE GUARANTEE IT. WE ARE GOING TO MOVE THEM QUICKLY THROUGH THE ENVIRONMENTAL PROCESS.
SOMETIMES PEOPLE HELD UP 12, 13, 14, 15 YEARS. I SAW IT IN PLANTS IN LOUISIANA, WHERE I GOT IT PROVED LITERALLY IN A WEEK. ONE WEEK AFTER SPENDING 14.5 YEARS TRYING TO GET IT, AND THEY WERE GOING NOWHERE. IT WAS A TERRIBLE THING. I HAVE BEEN A VICTIM OF THAT
MYSELF OVER THE YEARS. I THINK I KNOW ALL OF THE GAMES AND TRICKS THAT ARE PLAYED. MUCH OF IT IS JUST TO STOP PROGRESS. WE ARE GOING TO BE HELPING YOU AND EVERYBODY THAT COMES TO THE UNITED DATES AND WANTS TO INVEST THEIR MONEY, SO THAT YOU DON'T GET TIED UP FOR THE REST OF YOUR LIFE AND CANNOT DO ANYTHING. THIS COMMITMENT UNDERSCORES THAT MANY OF THE GREATEST BUSINESS LEADERS ON EARTH ARE SEEING A VERY BRIGHT ECONOMIC FUTURE FOR AMERICA. SINCE THE ELECTION, AS YOU KNOW, VERY POSITIVE THINGS HAVE HAPPENED.
WE ARE INHERITING A DIFFICULT SITUATION FROM THE OUTGOING ADMINISTRATION, AND THEY ARE TRYING EVERYTHING THEY CAN TO MAKE IT MORE DIFFICULT. INFLATION IS CONTINUING TO RAGE, AND INTEREST RATES ARE FAR TOO HIGH. WE HAVE BEEN DISAPPOINTED TO SEE THE BIDEN ADMINISTRATION'S ATTEMPT TO BLOCK THE REFORMS OF THE AMERICAN PEOPLE AND THAT THEY VOTED FOR. WE HAD A LANDSLIDE ELECTION. WE WON EVERY SWING STATE. HE WON THE POPULAR VOTE BY MILLIONS OF PEOPLE.
NO ONE EVEN KNOWS HOW MANY PEOPLE. MILLIONS. THEY ARE STILL COUNTING IN SOME AREAS. YOU KNOW THEY ARE STILL COUNTING THE VOTE IN SOME AREAS? CAN YOU BELIEVE THIS? WHAT A PLACE. WHAT A HORRIBLE PLACE.
HAVE TO FIX THE ELECTIONS SO WE HAVE HONEST COUNTS AND THEY GET DONE BY 10:00 IN THE EVENING OR SOMETHING THEREABOUTS. THERE ARE PLACES WHERE THEY ARE STILL COUNTING VOTES. PRESIDENT BIDEN'S ACTIONS YESTERDAY ON OFFSHORE DRILLING -- BANNING OFFSHORE DRILLING -- WILL NOT STAND. I WILL REVERSE IT IMMEDIATELY. IT WILL BE DONE IMMEDIATELY AND WE WILL DRILL, BABY, DRILL. WE ARE GOING TO BE DRILLING IN A LOT OF OTHER LOCATIONS AND THE ENERGY COSTS ARE GOING TO COME DOWN. THEY WILL BE BROUGHT DOWN TO A
LOWER LEVEL. THAT IS GOING TO BRING EVERYTHING ELSE DOWN. THAT IS WHAT CAUSED IT TO GO UP, IN ADDITION TO ALL OF THE MONEY ON THE GREEN NEWS SCAM. IT IS LIKE THROWING IT OUT THE WINDOW WHAT THEY ARE DOING, AND THEY ARE TRYING TO SPEND SO MUCH NOW, THEY ARE TAKING MONEY AND GIVING IT TO ANYONE AT ALL. IF IT IS CERTIFIED UNDER THE GREEN NEWS SCAM. IT IS EXPENSIVE, AND, YOU KNOW, THEY TOLD ME THAT WE ARE GOING TO DO EVERYTHING POSSIBLE TO MAKE THIS TRANSITION TO THE NEW ADMINISTRATION VERY SMOOTH. IT IS NOT SMOOTH, BECAUSE THEY
ARE DOING THAT. THEY ARE PLAYING WITH THE COURTS, AS YOU KNOW. PROBABLY GOT ME MORE VOTES, BECAUSE I GOT THE HIGHEST NUMBER OF VOTES ARE FORGOTTEN BY A REPUBLICAN, BY FAR. ACTUALLY, BY A LOT. HE HAD A GREAT ELECTION, SO I GUESS IT DID NOT WORK, BUT EVEN TO THIS DAY THEY ARE PLAYING WITH THE COURTS AND FRIENDLY JUDGES THAT LIKE TO TRY AND MAKE EVERYBODY HAPPY ON THE DEMOCRAT SIDE. IT IS CALLED LAW FAIR AND IT HAS HAPPENED AT A LEVEL NOBODY HAS SEEN BEFORE.
I DEFEATED DERANGED JACK SMITH. I GUESS HE IS ON HIS WAY BACK TO THE HAGUE. WE WON THOSE CASES, THE BIGGEST ONES, AND THE PRESS MADE SUCH A BIG DEAL OUT OF THEM, BUT WE DID NOTHING WRONG.
WE DID NOTHING WRONG ON ANYTHING. AND THE PEOPLE SAW THAT. WHEN A REPUBLICAN -- IT IS NOT EASY FOR A REPUBLICAN. WHEN THE REPUBLICAN WINS THE
POPULAR VOTE BY MILLIONS AND WINS ALL SEVEN OF THE SWING STATE PEOPLE SAID, WELL, HE COULD WON -- HE COULD WIN FOUR. WE WON BY A LOT. THEY HAVE BEEN WATCHING THIS INJUSTICE. I CALL IT THE INJUSTICE DEPARTMENT. WHAT THEY HAVE DONE IS SO BAD. THE WHOLE WORLD HAS WATCHED THAT.
IT TOOK WORK, BUT IT GOT ME A LOT OF VOTES. WE HAVE A JUDGE IN NEW YORK WHO IS A VERY CROOKED JUDGE. I AM UNDER A GAG ORDER. I CANNOT EVEN TALK ABOUT ASPECTS OF THE CASE THAT ARE THE MOST VITAL ASPECTS. DO YOU KNOW THAT I AM THE PRESIDENT-ELECT OF THE UNITED STATES OF AMERICA, I AM A FORMER VERY SUCCESSFUL PRESIDENT. WE HAVE THE GREATEST ECONOMY IN THE HISTORY OF OUR COUNTRY. WE HAD BOARDERS THAT WERE
SEALED AND BEAUTIFUL. WE HAD NO WARS. WE DEFEATED ISIS. NOW I'M GOING INTO A WORLD THAT IS BURNING WITH RUSSIA AND UKRAINE, WITH ISRAEL. YOU TOOK A LOOK AT THAT ATTACK, OCTOBER 7, THE ATTACK ON ISRAEL. WITH THE HORRIBLE WAY THEY GOT OUT -- NOT THE FACT THEY GOT OUT. I WOULD HAVE CAROLINE: BEEN OUT BEFORE THEM. PRESIDENT TRUMP SPEAKING AT
MAR-A-LAGO. HE IS DISCUSSING HIS UPPER -- HIS OPPOSITION TO JACK SMITH'S FINAL REPORT, WHICH IS LAWYERS SAY ACCUSES TRUMP OF ENGAGING IN UNPRECEDENTED NONCRIMINAL -- AN UNPRECEDENTED CRIMINAL EFFORT. IT IS A FILING FROM A NEW JUDGE THAT TOSSED THE CASE WHICH ACCUSED TRUMP OF MISHANDLING TOP-SECRET DOCUMENTS. WE'LL HAVE MORE ON LIVE GO. YOU CAN DIVE IN FURTHER THERE. PRIOR TO THAT DISCUSSION ON THE LAW WAS A $20 BILLION INVESTMENT FROM HUSSEIN SAYS YAMANI, THE FOUNDER OF DAN MAC OVER IN THE MIDDLE EAST. IT IS GOING TO GO TOWARD BUILDING NEW
DATA CENTERS IN THE UNITED STATES. WE CAN GET BACK TO CS, WHERE ED LUDLOW IS STANDING BY WITH A VERY SPECIAL GUEST WAS PROBABLY GOING TO BENEFIT FROM THAT SPENDING IN THE UNITED STATES. ED: GOOD MORNING FROM LAS VEGAS. JEN-HSUN HUANG, FRESH OFF OF HIS KEYNOTE LAST NIGHT ON STAGE.
JEN-HSUN: GOOD TO SEE YOU. WELCOME TO LAS VEGAS. HAPPY NEW YEAR. CONGRATULATIONS ON YOUR NEW BABY. ED: THANK YOU VERY MUCH.
A LOT HAS CHANGED SINCE WE LAST SPOKE. BUT IN THE BROAD SPECTRUM OF WHAT YOU ANNOUNCED LAST NIGHT -- NEW GRAPHICS CARDS, NEW CHIPS IN THE AUTOMOTIVE SPACE, PRODUCTS AND SERVICES ON THE SOFTWARE SIDE -- WHICH IS THE SINGLE MOST IMPORTANT FOR NVIDIA'S FUTURE? JEN-HSUN: IT'S ALL IMPORTANT. IT IS HARD TO PICK YOUR FAVORITES, YOU KNOW? WE ANNOUNCED THREE CHIPS.
WE ANNOUNCED A BRAND-NEW AI, A FOUNDATION MODEL, FIRST OF ITS KIND. AND WE ANNOUNCED OUR WORK IN THREE AREAS IN ROBOTICS. THEY ARE ALL IMPORTANT. THE THING, OF COURSE, WE ANNOUNCED A BRAND-NEW BLACK RTX, AND IT HAS A NEW AI TECHNOLOGY CALLED NERO-SHADERS.
WE ARE COMBINING ARTIFICIAL INTELLIGENCE AND CLASSICAL GRAPHICS. ED: THE NEW RTX. WE HAVE BECOME SO ACCUSTOMED TO YOUR STORY BEING DOMINANT FOR GP USE, SERVER RACKS, DATA CENTERS. THIS IS GOING BACK TO YOUR ROOTS. IT IS IN THE DESKTOP CONTEXT. FOR A TARGET BASE THAT IS
DEVELOPERS, AND NERDY, HARD-CORE GAMERS. IT IS THE FUTURE OF THAT BUSINESS FOR YOU? JEN-HSUN: COMPUTER GRAPHICS IS GOING TO BE HERE FOREVER. WHAT WE HAVE DONE IS WE'VE USED ARTIFICIAL INTELLIGENCE AND COMPUTER GRAPHICS TOGETHER. THE IMAGES WE ARE GENERATING TODAY WILL NOT BE POSSIBLE IF NOT FOR THE FACT WE ARE USING COMPUTER GRAPHICS TO CREATE YOU TO FOR PIXELS AND THEN USE ARTIFICIAL INTELLIGENCE TO AMPLIFY THAT CAPABILITY. FOR EXAMPLE, OUT OF FOUR FRAMES I WAS TALKING ABOUT YESTERDAY, 33 MILLION PIXELS OR SO, OUT OF THAT 2 MILLION PIXELS WERE COMPUTED. THE OTHER 31 MILLION PIXELS
WERE GENERATED BY AI. ED: THE AI PREDICTS WHAT IT THINKS THE PICTURE SHOULD BE? JEN-HSUN: THE ULTIMATE GENERATIVE AI. ED: THE FOCUS WAS AWAY FROM BLACKWELL AND COSMOS. WE PROBABLY DON'T HAVE TIME TO EXPLAIN IN FULL DETAIL COSMOS, BUT YOU CALL IT A WORLD FOUNDATION MODEL. JEN-HSUN: COSMOS IS FOR THE PHYSICAL WORLD WHAT CHATGPT IS FOR WORDS AND TEXT. THAT IS THE EASIEST WAY TO THINK ABOUT THAT. ED:
SO TEXT INPUT, BUT CAN GENERATE SYNTHETIC DATA IN MULTIPLE MEDIUMS? JEN-HSUN: IT UNDERSTANDS THE PHYSICAL WORLD. IF I ASK IT A QUESTION, IF I ASK IT TO GENERATE MULTIPLE FUTURES OF A CAR DRIVING DOWN THE ROAD IT WOULD UNDERSTAND THE DYNAMICS OF THE WORLD. IT WOULD UNDERSTAND THE OBJECT PERMANENCE.
IT WOULD UNDERSTAND GEOMETRY AND SPACE AND IT WOULD CREATE A DRIVING SCENARIO FOR THE CAR THAT IS PLAUSIBLE. ED: AND YOU OPEN-SOURCED IT. I DON'T THINK OF IT AS A PRODUCT OR GO TO MARKET, IT IS MORE ABOUT WHAT COSMOS ENABLES.
IS THAT HOW WE SHOULD THINK ABOUT IT? JEN-HSUN: THE AUTONOMOUS VEHICLE INDUSTRY AND ROBOTICS INDUSTRY IS IMPORTANT TO US. WE OFFER THREE COMPUTERS FOR THEM. WE OFFERED THE TRAINING COMPUTER , THE ROBOTICS COMPUTER INSIDE THE CAR OR ROBOT, AND NOW WE HAVE THIS NEW COMPUTER CALLED OMNI VERSE, WITH COSMOS, THAT IS THE DIGITAL TWIN, OR PLAYGROUND WITH THESE ROBOTS CAN LEARN HOW TO BE ROBOTS. IF WE COULD ACCELERATE THE DEVELOPMENT OF ARTIFICIAL INTELLIGENCE FOR ROBOTICS BRINGS IN A LOT OF BUSINESS FOR US. ED: THERE IS AN ACADEMIC POINT OF TENSION HERE. ELON MUSK IS A CUSTOMER OF YOURS, AND TESLA, DEAR THEORY OR PRACTICE IS BASED ON REAL-WORLD DATA GATHERED BY VISION. AS THE SYNTHETIC DATA UNDERPINNING COSMOS KIND OF
CONTRADICT THAT? JEN-HSUN: IT DOESN'T REPLACE, IT AUGMENTS. YOU SHOULD COLLECT AS MUCH DATA AS YOU CAN. COLLECTING WORLD DATA IS EXPENSIVE, AND ELON HAS A GREAT ADVANTAGE BECAUSE, NUMBER ONE, HIS AI FACTORY FOR HIS CARS IS FANTASTIC. IT HAS A LOT OF NVIDIA HERE IN IT. HIS A/V ALGORITHMS IS INCREDIBLE. IT IS THE BEST IN THE WORLD. AND HE HAS A VERY LARGE FLEET
OF CARS ON THE ROAD THAT ALLOWS HIM TO COLLECT A LOT OF DATA. I THINK HE HAS BEEN WORKING ON THIS FOR A LONG TIME, SO HE IS GOING TO BE IN A GREAT POSITION TO TAKE ADVANTAGE OF IT. ED: HE IS CLEARLY INFLUENTIAL IN THIS UPCOMING ADMINISTRATION. BUT HE ALSO POSITIONS TESLA AS A LEADING AI AND ROBOTICS COMPANY. HOW DOES THAT BODE FOR NVIDIA,
ELON MUSK'S PRESENCE WITH -- PRESENCE? JEN-HSUN: I DON'T KNOW THE ATTITUDE TOWARD AI. I KNOW ELON'S ATTITUDE TOWARD AI. HE IS OPTIMISTIC ABOUT ITS FUTURE AND WORKING ON SOME OF THE MOST IMPORTANT AI AREAS.
X AI IS WORKING ON COGNITIVE INTELLIGENCE AI. TESLA IS WORKING ON AUTONOMOUS VEHICLES. AND HUMANOID ROBOTICS. THESE THREE AREAS ARE THE MOST
IMPORTANT AREAS OF AI. HE IS WORKING ON EXACTLY THE RIGHT THINGS. ED: YOU POSITIONED NVIDIA'S POSITION IN SUPPLY CHAIN FOR ROBOTICS, AUTONOMOUS DRIVING. LANE THE ROLE YOU SEE NVIDIA PLAYING. JEN-HSUN: WE ARE A CORE TECHNOLOGY COMPANY. WE BUILD PLATFORMS. WE ARE ALSO FULL STACK, SO WE DEVELOP THE
NECESSARY AI TECHNOLOGIES. THEN WE PUT IT OUT TO THE INDUSTRY FOR THEM TO ADOPT IT AND TURN IT INTO AND MARKET SOLUTIONS. WE ARE A COMPUTING PLATFORM COMPANY. ED: YOU ARE ON STAGE AND SURROUNDED BY A DOZEN HUMANOID ROBOTS, WHICH IS NICE FOR YOU.
WHEN WILL AI BE HERE AT CES IN LAS VEGAS AND ACTUALLY HAVE -- IN REAL TERMS YOU MUST HAVE A TIMELINE YOU SEE REAL-WORLD COMMERCIAL DEPLOYMENT OF THE TECHNOLOGY YOU OUTLINED LAST NIGHT. JEN-HSUN: IT DEPENDS ON USE CASE. ED: WHAT DO YOU SEE FIRST? JEN-HSUN: THE FIRST USE CASE WILL PROBABLY BE MANUFACTURING. THERE IS ESTIMATES, TENS, IF NOT 100 MILLION JOBS.
THE WORLD IS SHORT OF WORKERS, AND AGING POPULATION, DECLINING BIRTH RATES, I THINK THE WORLD NEEDS A LOT MORE WORKERS. ROBOTICS IS ONE OF THE BEST WAYS FOR US TO SUPPLEMENT ALL OF THAT AND HELP COMPANIES RECOVER THE LOST REVENUES ON THE ONE HAND AND DRIVE PRODUCTIVITY, WHICH REDUCES INFLATION FOR THE WORLD ON THE OTHER HAND. I THINK ROBOTICS IS GOING TO BE VERY IMPORTANT THAT. IN DIFFERENT AREAS. IT WILL PROBABLY DEPLOY INTO MANUFACTURING FIRST BECAUSE THEY WILL NEED IT MOST. ED: WHICH YOU SEE AS AN ENORMOUS ADDRESSABLE MARKET? JEN-HSUN: IT IS A $50 TRILLION INDUSTRY THAT WANTS TO GROW. ED:
I THINK THE THING THAT WALL STREET IS STRUGGLING WITH THIS MORNING IS, DG ASK THEY UNDERSTAND -- DGX THEY UNDERSTAND. IN TERMS OF NVIDIA'S BUSINESS MODEL WHAT YOU OUTLINED LAST NIGHT, COSMOS AND LATER ON ON THE INFERENCE SIDE, HOW PHYSICAL AI HELPS GROW YOUR BUSINESS FROM THERE. JEN-HSUN: IT DRIVES DGX GROWTH. ED: AS SIMPLE AS THAT? JEN-HSUN: WE HAVE THREE COMPUTERS.
TWO DRIVE AN ENORMOUS AMOUNT OF DATA NECESSARY TO TRAIN AI MODELS. ON THE VERSE DATA WE USE TO TRAIN AI MODELS. THE TRAINING DRIVES DGX SALES. THE MORE MODELS AVAILABLE THE
MORE AI MODELS WE HAVE TO GO TRAIN, THA T CYCLE IS WHAT WE ARE STRIVING FOR. ALL OF THAT DRIVES CONSUMPTION. ED: THERE IS A SURGE IN DATA CENTER GROWTH. SOME OF OUR AUDIENCE ARE
CONCERNED ABOUT HOW SUSTAINABLE THAT IS, SHORT, MEDIUM, AND LONG TERM. ED: JEN-HSUN: JEN-HSUN: ARTIFICIAL INTELLIGENCE IS THE MOST IMPORTANT TECHNOLOGY FOR OUR TIME, AND WE ARE AT THE BEGINNING OF THAT. IN THE FUTURE EVERY SINGLE DATA CENTER WILL BE DRIVEN BY AI AND THE TYPE OF COMPUTING WE BUILT TODAY. IF YOU LOOK AT THE WORLD TODAY, WE ARE ABOUT A YEAR AND A HALF INTO THE REMODELING, IF YOU WILL, THE MODERNIZATION, THE REINVENTION OF COMPUTING. I THINK OVER THE NEXT SEVERAL
YEARS YOU ARE GOING TO SEE THE TRANSITION FROM THE OLD WAY OF DOING COMPUTING, GENERAL-PURPOSE COMPUTING, IS A NEW WAY, ARTIFICIAL INTELLIGENCE AND ACCELERATED COMPUTING. WE HAVE A LOT OF GROWTH TO GET TO. ED: LET'S GO TO NVIDIA'S ROOTS. THE STORY, ACCELERATED COMPUTING. HE SPENT FOUR YEARS REDEFINING THE COMPUTER FOR ME, BUT THEN WE GET RTX, BLACKWELL, SINGLE BLACKWELL IN THAT FORMFACTOR.
TARGET AUDIENCE IS HARD-CORE GAMERS, BUT ALSO DEVELOPERS. I WONDER IF YOU COULD GIVE ME ANY EXAMPLES OR EVIDENCE OF HOW YOU SEE THE GAMING INDUSTRY ADOPTING THE TECHNOLOGY? JEN-HSUN: AI IS GOING TO REINVIGORATE THE VIDEOGAME INDUSTRY. ON THE ONE HAND, FOR DEVELOPERS IT IS GOING TO REDUCE THE COST OF CREATING CONTENT.
ON THE OTHER HAND, ALL OF THE CHARACTERS IN THE GAMES ARE GOING TO BE SMART CHARACTERS IN THE FUTURE. EVERY TIME YOU INTERACT WITH THEM THEY ARE GOING TO BE I -- THEY'RE GOING TO BE INTERACTING WITH YOU IN AN INTELLIGENT WAY. THE CONTENT DEVELOPMENT COSTS IS GOING TO DECLINE AND THAT IS GOING TO BE GREAT FOR THE INDUSTRY. FUTURE IS REALLY BRIGHT FOR VIDEOGAMES AND THESE VIRTUAL WORLDS. AND ARTIFICIAL INTELLIGENCE IS GOING TO REINVIGORATE IT. ED: PROJECT DIGITS. MAY I PICK IT UP? $3000.
A SUPERCOMPUTER THAT FITS ON YOUR DESK. JEN-HSUN: EXACTLY. CAN YOU IMAGINE YOU ARE WORKING ON YOUR PC? ED: WHY WOULD I NEED ONE OF THESE? PROBABLY NOT ME, BUT HOW BIG IS THE ADDRESSABLE MARKET FOR THIS? JEN-HSUN: THERE ARE 30 MILLION SOFTWARE DEVELOPERS. THERE WERE PROBABLY SOMETHING ALONG THE LINES OF 10 MILLION DESIGNERS AROUND THE WORLD. PROBABLY ANOTHER 20 MILLION CREATIVE ARTISTS. HARD TO SAY EXACTLY HOW MANY STUDENTS. I'M GOING TO GUESS PROBABLY A
COUPLE HUNDRED MILLION STUDENTS AROUND THE WORLD. EVERYBODY IS GOING TO HAVE TO -- THEY CAN AFFORD COMPUTERS. IF THEY CAN AFFORD COMPUTERS AND THEY WOULD LIKE TO HAVE A COMPANION THAT HELPS THEM TO AI, THIS IS THE WAY TO DO IT. ED: CAN I CLARIFY SOMETHING? YOU SAID ONSTAGE, MAC OS, X, AND WINDOWS. -- LINUX, AND WINDOWS. JEN-HSUN: YOU ARE LITERALLY ENJOYING HOW
IT IS GOING TO BE USED. YOU CONNECT WIRELESSLY LIKE IT IS IN THE CLOUD. ED: WE ARE RUNNING SHORT ON TIME. PRESIDENT-ELECT TRUMP HAS BEEN SPEAKING DURING THE COURSE OF OUR CONVERSATION. HOW IMPERATIVE IS IT THAT YOU GO TO MAR-A-LAGO AND MEET WITH HIM, IF NVIDIA IS AMERICA'S LEADING AI COMPANY? JEN-HSUN: I WOULD BE DELIGHTED TO GO SEE HIM. AND CONGRATULATE HIM. AND DO EVERYTHING WE CAN TO
HELP THIS ADMINISTRATION SUCCEED. JEN-HSUN: A LOT OF WHAT YOU OUTLINED LAST NIGHT IN THE REALM OF AI, AUTONOMOUS IS HAPPENING IN CHINA. I'M GOING TO ASK YOU ABOUT TARIFFS. IT IS LIKELY THIS INCOMING ADMINISTRATION WILL BE AS RESTRICTIVE ON TO ALLERGY EXPORT AND TARIFFS WILL BE A FUNCTION. HOW HAVE YOU PREPARED FOR THAT? JEN-HSUN: WHATEVER THE ADMINISTRATION ULTIMATELY DECIDES, WE WILL GIVE THEM AS MUCH INSIGHT AS WE CAN FROM OUR PERSPECTIVE.
I'M SURE THE ADMINISTRATION WILL MAKE THE RIGHT MOVES. ED: 2025. I STARTED THE CONVERSATION BY SAYING A LOT HAS CHANGED SINCE WE LAST SPOKE IN THE SUMMER. YOU SAID THE AGE OF ROBOTICS IS JUST AROUND THE CORNER. HIS 2025 THE YEAR OF GENERAL ROBOTICS OR IS THAT PREMATURE? JEN-HSUN: THE DEVELOPMENT IS GOING GANGBUSTERS, AS YOU CAN SEE. ALL OF THE DIFFERENT ROBOTS
AROUND HERE. ENABLING TECHNOLOGY NECESSARY FOR GENERAL ROBOTICS IS COMING TOGETHER. ALL OF THE PIECES ARE COMING TOGETHER. THE INDUSTRY STILL HAS A LOT OF ENGINEERING TO DO. IF YOU LOOK LONG TERM, PICK YOUR HORIZON, IN 10 OR 20 YEARS THE NUMBER OF ROBOTS ON EARTH IS GOING TO BE MEASURED IN PROBABLY BILLIONS OF ROBOTS. THOSE DAYS ARE CLEARLY COMING. IS IT GOING TO HAPPEN IN THE NEXT COUPLE OF YEARS? HARD TO SAY, BUT THE DEVELOPMENT OF ROBOTICS IS GOING TO BE ALL OVER THE WORLD NOW, AND WE ARE SEEING START UP COMPANIES, INDUSTRIAL COMPANIES, CONSUMER ELECTRONICS COMPANIES INVOLVED IN ROBOTICS. OUR OFFERING IS A
THREE-COMPUTER SYSTEM. WHETHER THEY ARE DEVELOPING THE ROBOT, TRAINING THE ROBOT, WE HAVE DGX SYSTEMS FOR THEM. IF THEY ARE SIMULATING THE ROBOTS WE HAVE OMNIVOROUS FOR THEM. WHEN THEY ARE READY TO DEPLOY ROBOTS WE HAVE LITTLE COMPUTERS THAT BASICALLY IS THE COMPUTER BRAIN OF THE ROBOT THAT THEY CAN PUT INSIDE THE ROBOT. WE WILL WORK WITH THE INDUSTRY ACROSS THE BOARD, FROM THE DEVELOPMENT OF THE ROBOTS, DEPLOYMENT, AND WE HAVE COMPUTER SYSTEMS FOR THEM, ALGORITHMS FOR THEM.
WE WILL PARTNER WITH THE INDUSTRY AND MAKE THIS HAPPEN. ED: VERY QUICK. WHICH LINE OF BUSINESS GROWS FASTEST THIS YEAR? DATA CENTER, GAMING, OR OTHER? JEN-HSUN: THEY ARE ALL GOING TO GROW FAST. OUR AUTONOMOUS VEHICLE BUSINESS IS ALREADY ON ITS WAY TO BE A $5 BILLION BUSINESS THIS YEAR. RUN RATES. THE AUTONOMOUS VEHICLE BUSINESS IS JUST STARTING TO GET OFF THE GROUND. THAT TELLS YOU SOMETHING ABOUT
HOW WE ADDRESS IT. WE GET THE BENEFIT FROM THE BEGINNING OF THE DEVELOPMENT OF THE AI ALL THE WAY TO THE DEPLOYMENT OF THE CARS. BECAUSE A CAR COMPANY NEEDS TWO FACTORIES. A CAR FACTORY THAT BUILDS THE CARS AND AN AI FACTORY THAT FILLS AI FOR THE CARS.
IN BOTH OF THESE AREAS WE CAN PARTICIPATE, SO I THINK IT IS GOING TO BE A VERY LARGE BUSINESS. ED: I HAVE MADE YOU LATE FOR YOUR NEXT APPOINTMENT, BUT I AM GRATEFUL FOR YOUR TIME. JEN-HSUN HUANG, THE CEO OF NVIDIA. CAROLINE: WHAT A CONVERSATION. ED LUDLOW LIVE IN LAS VEGAS. WE WILL LET YOU RETURN TO PATERNITY LEAVE, BUT LET'S CHECK IN ON THESE MARKETS. NVIDIA HAS BEEN UNDER PRESSURE. REALLY, THE MARKET TRYING TO
DISSEMINATE MACRO HEADWINDS. THE INFLATIONARY PUSH WE GET FROM SOME OF THE MACRO DATA TODAY, BUT ALSO THE PROPHET RUN WE HAVE HAD, A BE TAKING SOME MONEY OFF THE TABLE. NVIDIA MAYBE NOT GIVING US ENOUGH ON THE BLACKWELL ROLLOUT AS IT STANDS. MICRON STILL UP MORE THAN 5% AS IT SAYS IT IS CLEARLY GOING TO BE A KEY CONTRIBUTOR TO NVIDIA. IT IS PROVIDING ITS MEMORY TO
NVIDIA'S PLATFORMS. AMD OFF BY 1%. THE CHIP SECTOR IS LOWER, PERHAPS ON INFLATIONARY BASIS, BUT ALSO NVIDIA ANNOUNCEMENTS. YOU HAVE PLENTY OF ANNOUNCEMENTS IN MAR-A-LAGO STILL. PRESIDENT-ELECT DONALD TRUMP IS STILL SPEAKING. HE STARTED TALKING ABOUT DATA
CENTER SPEND COMING FROM A DUBAI BILLIONAIRE, BUT NOW HE IS TALKING ABOUT THE FUTURE RELATIONSHIP WITH MEXICO AND CANADA. >> WHEN YOU BUILD THESE MASSIVE TOWERS, AND THEY ARE 40 STORIES TALL, THEY HAVE 170 STORIES TALL, THE BLADES, THEY TAKE THREE SHIPS TO SHIP THEM. THEY ARE DANGEROUS. SEE WHAT IS HAPPENING IN THE MASSACHUSETTS AREA WITH THE WHALES, WHERE THEY HAD TWO WHALES WASH ASHORE IN 17-YEAR PERIOD. NOW THEY HAD 14 THIS SEASON.
THE WINDMILLS ARE DRIVING THE WHALES CRAZY, OBVIOUSLY. OVER 125 OVER NUMBER OF YEARS. AND WE DON'T WANT THAT TO HAPPEN. IT IS A DISASTER FROM -- IT IS AMAZING THE WAY TRUE ENVIRONMENTALISTS SAY, WE LOVE WIND. BUT THAT IS WHERE IT ENDS. AFTER 10 YEARS YOU HAVE TO REDO THEM. WHAT HAPPENS IS THEY DON'T DO THAT, THEY STAND AND RUST BECAUSE OF THE ENVIRONMENT.
I'M NOT A BELIEVER IN THIS, BUT THEY SAY THEY CAN'T BECAUSE IT IS A CERTAIN FIBERGLASS, THAT THE BLADES CANNOT BE BURIED IN EARTH. SO WHAT DO YOU DO WITH THEM? I DON'T KNOW IF YOU HAVE EVER GONE TO PALM SPRINGS, CALIFORNIA OR ANY OF THESE PLACES WHERE YOU HAVE LONG-TERM WINDMILLS. THEY ARE RUSTING, FALLING DOWN. THIS IS AS YOU ENTER PALM SPRINGS. THEY PUT NEW ONES NEXT TO THEM BECAUSE NOBODY WANTS TO TAKE THEM DOWN BECAUSE WHY SHOULD THEY TAKE THEM DOWN? IT IS VERY EXPENSIVE TO TAKE THEM DOWN, AND YOU CAN ANYTHING WITH THEM, BECAUSE THE BLADES YOU CANNOT AREA THEM.
WE WILL LOOK AT THAT. IT DOESN'T MAKE SENSE, BUT THAT IS WHAT THEY SAY. WE ARE AT THE BEGINNING OF A GREAT, BEAUTIFUL GOLDEN AGE OF BUSINESS. AND I THINK WE ARE ALSO AT A GOLDEN AGE OF COMMON SENSE. BECAUSE EVERYTHING I'M SAYING TO YOU, FROM A SIMPLE WATER FAUCET THAT DOES NOT ALLOW WATER TO COME OUT APPROPRIATELY, TO ALL OF THE OTHER ELEMENTS OF WHAT WE DO AND WHAT WE ARE GOING TO DO, TO TAKE $50 TRILLION TO $60 TRILLION OFF OF OUR COUNTRY'S BALANCE SHEET BECAUSE SOME MAN WHO HAS NO IDEA WHAT HE IS DOING -- HE HAS NO IDEA. YOU KNOW IT, I KNOW WHAT, THE DEMOCRATS KNOW IT.
WHAT THEY DID WAS A CRIME, TO ALLOW THAT TO HAPPEN. I'LL BET IF YOU ASK HIM TODAY, HOW MUCH ACREAGE DID YOU SUBMIT -- ESSENTIALLY, DID YOU DESTROY? YOU DESTROYED THE ECONOMIC VIABILITY OF DRILLING IN THE OCEAN. AND WITH AI COMING ALONG AND A LOT OF PEOPLE DON'T REALIZE THAT AI IS GOING TO BE A BIG THING, YOU WILL NEED DOUBLE THE ELECTRICITY WE HAVE RIGHT NOW. RIGHT NOW WE PRODUCE ELECTRICITY FOR MANY DIFFERENT THINGS.
AI IS A BIG DEAL, AND TERMS OF THE FUTURE. CHINA IS ALREADY BUILDING ELECTRIC FACILITIES. BIG, BOLD ELECTRIC FACILITIES. AND YOU KNOW HOW THEY ARE BEING FILED UP TO -- FIRED UP? THEY ARE BEING FIRED UP WITH COAL. WE ARE GOING TO BUILD BIGGER AND BETTER ONES. PEOPLE LIKE HUSSEIN, WHO ARE DOING THE SAME THING HE DOES -- I BET THEY DON'T DO AS WELL, BECAUSE I KNOW HOW HE DOES IT. THE PROBLEM IS THEY CANNOT GET
THEIR PERMITS. I SAY, BUILD THE PLANT. THE GRIDS ARE HOLD, SO THEY SAID, THAT'S A GREAT IDEA. IN OTHER WORDS, BUILD YOUR ELECTRIC FACILITY ALONGSIDE OF YOUR PLANT. AND YOU COULD HAVE EXTRA OUTPUT IF YOU WANT. BECAUSE ONCE YOU BUILD IT YOU CAN MAKE LARGER INEXPENSIVELY. YOU COULD HAVE EXTRA OUT SELL
TO THE PUBLIC. CAROLINE: PRESIDENT-ELECT TRUMP DISCUSSING THE ENERGY NEEDS OF A FUTURE OF ARTIFICIAL INTELLIGENCE. CERTAINLY TALKING TOWARD TECHNOLOGY. IF YOU WANT TO SEE THEM, GO TO THE TERMINAL. FROM NEW YORK, THIS IS "BLOOMBERG TECHNOLOGY."
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