- Huang also announced that the company recently entered into a non-exclusive licensing agreement with xAI’s Grok for its low latency inference technology.
- Addressing an investor question, Huang said that computing had changed, and agentic AI has started to become profitable.
- Nvidia reported Q4 2026 revenue of $68.1 billion, up 73% from the same period last year, and much above analyst expectations of $66.12 billion.
Nvidia Corp. (NVDA) CEO Jensen Huang said on Wednesday that the semiconductor company is close to a partnership deal with OpenAI.
Speaking to investors on a call after posting upbeat fourth-quarter (Q4) results, Huang said, “We continue to work with OpenAI toward a partnership agreement and believe we are close. We are thrilled with our ongoing partnership with OpenAI, a once-in-a-generation company.”
“Demand is skyrocketing and the ChatGPT moment of agentic AI has arrived,” Huang said.
Huang also announced that the company recently entered into a non-exclusive licensing agreement with xAI’s Grok for its low-latency inference technology, adding that more details would be shared at NVIDIA GTC 2026, scheduled in March.
Other Partnerships
Talking about OpenAI, Huang said that Nvidia’s ability to run the AI company’s large collection of open models makes its platform “super fungible, super easy to use, and really safe to invest into.”
Huang also highlighted that the company is working closely with other OpenAI's competitors, including Anthropic's Claude, Google's Gemini, and Elon Musk's xAI Grok.
“With partnerships spanning Anthropic, Meta, OpenAI and XAI, Nvidia has deployed across every cloud and with our ability to build full-stack AI infrastructure from the ground up or support them in the cloud. We're uniquely positioned to partner with Frontier model builders at every stage,” Huang said.
The Future
Addressing an investor question, Huang said that computing has changed, and agentic AI has started to become profitable. “In this new world of AI, compute is revenue. Without compute, there’s no way to generate tokens. Without tokens, there’s no way to grow revenues,” Huang said. “We’ve reached the inflection point, and we’re generating profitable tokens that are productive for customers and profitable for the cloud service providers”
Huang also addressed a question on space data centers, adding that while the economics are poor at the moment, they would improve over time. “Nvidia is already the world's first GPU in space,” he said, adding that imaging is one of the best use cases of GPUs in space.
Earnings Snapshot
Nvidia reported Q4 2026 revenue of $68.1 billion, up 73% from the same period last year, and much above analyst expectations of $66.12 billion.
Most notably, revenue from the company’s data center division surged 75% year-on-year to $62.3 billion, amid accelerated computing and AI demand. On the earnings call, the company said that $51 billion of the data center revenues would come from compute revenue and $11 billion from networking products.
Nvidia’s outlook for the upcoming quarter also topped Wall Street projections, with the company forecasting revenues of $78 billion, plus or minus 2%, against a consensus of $71.64 billion.
Shares of NVDA were up 0.09% at the time of writing, having pared earlier gains following its earnings release.
For updates and corrections, email newsroom[at]stocktwits[dot]com.