Nvidia shares rise after Jensen Huang says demand for its new AI chips is ‘insane’

Nvidia’s (NVDA) next-generation artificial intelligence chip is in full production and demand for it is “insane,” according to CEO Jensen Huang.

“Everybody wants to have the most and everybody wants to be the first,” Huang said of the company’s highly anticipated AI platform, Blackwell, during a Wednesday night appearance on CNBC.

The chip maker’s shares rose nearly 3 percent in midday trading Thursday. Shares of Nvidia are up more than 152% so far this year.

When the company reported second-quarter earnings in August, Huang said the company had shipped Blackwell samples to customers during the period and that Blackwell production would ramp up in the fourth quarter of fiscal 2026.

To “improve manufacturing yield,” Nvidia made a change to Blackwell’s GPU mask, the chipmaker said. However, “no functional changes were required,” Huang said on a call with analysts.

In early August, the chipmaker saw its shares fall after a report that Blackwell was delayed due to design flaws, possibly pushing back shipments by at least three months. However, during its earnings call, Nvidia said it expects to “deliver several billion dollars in Blackwell revenue” in the fourth quarter. The company added that demand for its Hopper chips remains strong and that it expects shipments to increase in the second half of the fiscal year.

Huang said demand for Blackwell, which he previously said “far exceeds supply,” was making clients “excited” and “tense,” during an interview at Goldman Sachs’ ( GS ) technology conference in September.

“At a time when technology is moving so fast, it gives us the opportunity to triple down, to really drive the innovation cycle so we can increase capabilities, increase throughput, reduce costs and we reduce energy consumption,” Huang said. during his interview on CNBC (CMCSA). “We are on track to do that and everything is on track.”

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