Nvidia Corp.’s data-center chips brought in more money than the gaming specialist’s core business for the first time in the company’s second quarter, but new gaming chips amid a pandemic-influenced boom in videogames are expected to flip that back around and produce even more record sales.
Gaming sales rose more than expected in the second quarter, totaling sales of $1.65 billion after posting revenue of $1.31 billion a year ago. The average Wall Street estimate called for sales of $1.41 billion. It was the first time data-center sales eclipsed gaming sales for the company, though that trend may not last — Nvidia is expected to announce a new line of Ampere gaming chips at a Sept. 1 event, and expectations for the gaming segment in the third quarter are high.
“Gaming is growing faster sequentially than data center in the next quarter. In our second quarter, DC surpassed gaming … [but] it will likely be gaming as we move into Q3,” she said “The thing that people haven’t realized about videogames is that it’s not just a game itself anymore,” Huang said. “You’re spending time with your friends. You’re using it to create, to realize your imaginations. People are using it for broadcast, for sharing ideas and techniques with other people, and then of course it’s just an incredibly fun way to spend time.”
AMD chips will be used in the next generation consoles coming out for Christmas.
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