Nvidia Poised to Dominate Hyperscaler Market with $401B Revenue Target
Nvidia's Hyperscaler Revenue Could Reach $401B In 2027
According to Barclays analyst Tom O'Malley, Nvidia's hyperscaler revenue could reach $401 billion in 2027. This is based on 'napkin math' from Nvidia's latest IT spending data, which shows the company's share of IT capital spending among the five largest cloud service providers.
O'Malley estimates that Nvidia will generate $237 billion in hyperscaler revenue in 2026 and $401 billion in 2027. This is above Barclays' current estimate of $206 billion for 2026 and $370 billion for 2027.
The calculation assumes that Nvidia's share of IT capex will reach 44% by 2027, according to O'Malley. However, it's worth noting that the math leaves out SpaceX from the capex comparison, which could potentially make the implied revenue opportunity even larger.