"US Nvidia's Largest Customer is MS... Accounts for 13% of Q1 Revenue"

Estimated by economic media 'Business Insider'
NVIDIA submits quarterly report to SEC
13% of total sales are direct customers
Estimated to be MS... approximately $3.3 billion worth of AI chip purchases

NVIDIA, the leader in the artificial intelligence (AI) chip competition, has Microsoft (MS) as its largest customer, estimated to have purchased over 4 trillion won worth of NVIDIA AI chips in the first quarter alone.

NVIDIA logo Photo by Yonhap News

According to the U.S. economic media outlet 'Business Insider' on the 31st (local time), NVIDIA stated in its quarterly report submitted to the U.S. Securities and Exchange Commission (SEC) earlier this week that a single direct customer accounted for 13% of total sales, and the second customer accounted for 11% during the first quarter of fiscal year 2025 (February to April).

A direct customer is one who purchases AI chips directly from NVIDIA. This means that two companies purchasing directly accounted for more than 10% of NVIDIA’s sales each. NVIDIA also explained that among indirect customers who purchase chips through distributors, two companies each accounted for more than 10% of total sales in the first quarter. However, NVIDIA did not disclose the specific company names.

Big tech companies are rushing to buy NVIDIA’s latest chip, the H100, to enhance their generative AI capabilities. UBS estimated that Microsoft is NVIDIA’s largest customer. UBS analyst Timothy Arcuri analyzed past disclosures and revealed that MS accounted for 19% of NVIDIA’s total sales in fiscal year 2024 and remains the largest customer. Arcuri said regarding NVIDIA’s quarterly report, “It is obvious that one of these customers is MS.”

In the first quarter, NVIDIA posted sales of $26.04 billion. It is estimated that MS purchased about 13% of this, approximately $3.38 billion (4.6813 trillion won) worth of AI chips. MS is rapidly expanding its AI capabilities by embedding its AI assistant, Copilot, in all its products and continuing its partnership with OpenAI. Its cloud services are also growing.

Business Insider cited Bloomberg’s supply chain data estimates, reporting that MS accounts for 15% of NVIDIA’s sales, followed by Meta Platforms at 13%, Amazon at 6%, and Alphabet at about 6%.

This content was produced with the assistance of AI translation services.