Huang: Semiconductor Industry Growth Will Keep Booming

Nvidia CEO Jensen Huang believes the current semiconductor boom will not be followed by a bust, at least not in the near future. According to him, this chip industry cycle is different from previous ones because it's driven by industrial demand rather than consumer needs.

Huang argues that AI has created a new layer of infrastructure, comparable to energy or the internet, which requires more chips and drives up demand. He estimates that the semiconductor industry needs to grow five to 10 times larger than it is today to meet this increasing demand.

Recent earnings reports from Nvidia and Intel show strong compute demand, with Nvidia consistently exceeding expectations and raising revenue guidance each quarter. Intel's CEO Lip-Bu Tan also attributed their 25% year-over-year revenue growth in Q2 2026 to AI-driven compute demand.