Nvidia Q3 earnings report explodes: $57 billion in revenue, is the AI bubble really about to burst?

Question

## Data looks hereNvidia&#39;s recently released Q3 financial report has shattered its own records—$57 billion in revenue, a year-on-year increase of 62%, and a quarter-on-quarter increase of 22%. Even more impressive is the net profit of $31.9 billion, a year-on-year increase of 65%.But there is a detail worth noting here: these results were achieved **without the Chinese market at all**. Last year, the Chinese market contributed $17 billion in revenue (approximately 13%), but this year it has been completely cut off. The U.S. export controls + China&#39;s security reviews have left Nvidia with no say in the world&#39;s second-largest market.The data center business is the real cash cow, with a single quarter generating 51.2 billion dollars, a quarter-on-quarter increase of 25%, and a year-on-year increase of 66%.## What about that $50 billion order?Last month, CEO Jensen Huang said Nvidia secured over $50 billion in orders for Blackwell and Rubin GPUs (by 2026). Now the market is most concerned about: is this figure still reliable?The answer is reliable. Although 30% of it has already been delivered (with 35 billion dollars still to be realized), Huang Renxun insists that this figure can hold. His logic is: accelerated computing, generative AI, and intelligent agent AI are undergoing a "triple transformation," each of which is a trillion-dollar market opportunity.## Will the AI bubble burst?This is a good question. Some AI startups do carry risks—like SoundHound AI and BigBear.ai, where revenue growth is slowing down, yet valuations are skyrocketing, creating a sense of bubble.But Nvidia is different. This company is not inflating a bubble; it is building infrastructure. The AI infrastructure market is expected to reach $4 trillion by 2030, and Nvidia is already the "king of infrastructure" in this race.Nvidia&#39;s moat lies in: a continuous cash flow (which could reach $500 billion in free cash flow over the next few years), constantly upgraded GPU performance, and the absolute dependency of the industry. Even if the entire AI market undergoes corrections, Nvidia, as the "shovel seller," can still thrive comfortably.## Bottom LineNvidia&#39;s market value has surpassed $5 trillion, making it the largest company in the world. Some are concerned that the high valuation may lead to a correction, but in the long run, the growth story of this company is far from over. In the AI infrastructure arena, there are currently no competitors in sight.