The world’s top cloud service providers will plough $600 billion in capex into their data centres in 2026 – replacing server racks, cooling systems, networking gear and, yes, the chips at the heart of their compute.
That drove another record quarter for NVIDIA: its data centre segment customers spent $51.2 billion on its hardware and software over the past 12 weeks, NVIDIA’s fiscal Q3, 2026 earnings showed late Wednesday.
It also helped hush those concerned about an AI bubble.
CEO Jensen Huang attempted to tackle those concerns head-on in an earnings call. Hyperscaler investments in NVIDIA kit were “really misunderstood” he told analysts.
(NVIDIA itself has booked a colossal $26 billion in long-term cloud service agreements, CFO commentary showed; double the previous quarter’s sum, to support its R&D efforts and underpin its DGX Cloud managed service.)
