nvidia promises tenfold ai boost for europe, ending gpu shortage

2025-06-12 nvidia

paris, Thursday, 12 June 2025.
nvidia ceo jensen huang has announced a massive expansion of ai computing capabilities for europe. the continent’s ai capacity is projected to increase tenfold within two years. this surge in power arrives with the construction of over 20 new ‘ai factories’. the initiative includes the ‘stargate’ project, deploying 500,000 gpus. this aims to resolve the crippling gpu shortage, empowering european research and startups, and positioning europe to compete with the us and china.

boosting nvidia’s market position

Huang’s announcement, made at the GTC Paris event, underscores Nvidia’s pivotal role in supplying chips for nearly every major ai-computing project [2][5]. The planned ‘ai factories,’ some boasting over a gigawatt of capacity, are poised to be among the world’s largest data centers [2]. This strategic move strengthens Nvidia’s market position in europe, a region actively seeking to catch up with the united states and china in ai infrastructure [1][2]. By resolving the gpu shortage and fostering local ai development, nvidia is set to solidify its dominance and capture a larger share of the european market [1].

revenue potential and strategic advantage

The initiative will likely create substantial revenue streams for nvidia through increased gpu sales and related services [1][5]. Each ‘ai factory’ functions as a ‘revenue-generating machine,’ producing tokens used across various industries [5]. Nvidia’s collaboration with european companies like bmw, maserati, and mercedes-benz further enhances its strategic advantage, fostering collaborative research and development [4]. Nvidia’s investment in ai technology centers across seven countries aims to boost local ecosystem development, creating a robust demand for its products and services [4][5].

quantum computing and cuda-q

Nvidia is also advancing in quantum computing, with huang stating that quantum computing is approaching an inflection point [5][6]. Nvidia’s cuda-q, an open-source quantum development platform, allows parallel computing across gpus, cpus, and qpus [5][6]. Huang predicts a tenfold increase in logical qubits every five years, mirroring moore’s law [4][5]. The cuda-q platform can accelerate quantum algorithm stacks on the grace blackwell 200 chip, marking a significant leap in computational capabilities [5][6]. This positions nvidia at the forefront of integrating quantum computing with ai, offering a unique competitive edge [5].

market expert views and future outlook

Market experts view nvidia’s european expansion as a strategic imperative, enhancing its global footprint and reducing reliance on the us and china [1][2]. The company’s focus on building ai infrastructure aligns with the growing demand for ai solutions across industries [4][5]. Huang’s vision of every manufacturer needing both a product factory and an ‘intelligence factory’ underscores the transformative impact of ai [4]. With substantial investments in ai research, developer education, and secure testing environments, nvidia is poised to capitalize on europe’s ai potential, driving long-term growth and shareholder value [4][7].

Bronnen

artificial intelligence gpu shortage