Nvidia CEO Jensen Huang announced during a Wednesday earnings call that the company's newly launched Vera CPU opens up a $200 billion total addressable market (TAM) previously untapped by Nvidia. According to ChainCatcher, Vera, introduced in March, is the world's first CPU specifically designed for agentic AI.
Huang explained that while AI models rely on GPUs for processing, AI agents primarily execute tasks on CPUs. Vera is engineered to process tokens rapidly, differing from traditional cloud architectures that focus on multi-instance parallelism.
Nvidia reported record revenue of $81.6 billion this quarter, with guidance for the next quarter set at $91 billion. Huang revealed that $20 billion worth of Vera CPUs have been sold this year. He anticipates billions of AI agents globally, using tools similarly to how humans use PCs, driving significant demand for CPUs. Huang stated that every major hyperscale enterprise and system manufacturer is collaborating with Nvidia to deploy Vera.