NVIDIA's Data Center Business Is Crushing It

Artificial intelligence (AI) continues to be a key part of NVIDIA's (NASDAQ: NVDA) growth story and epic run-up over the past two years, and the graphics specialist's fiscal third-quarter earnings release last night only strengthened that narrative. The company's data center business was a major headline from the report, with revenue more than doubling to a record $501 million.

Data center sales are being driven by NVIDIA's newest Volta GPU architecture, which the company says offers 10 times the deep learning performance of the previous-generation Pascal architecture. The new Tesla V100 GPU started shipping in the second quarter and "ramped significantly" in the third quarter thanks to broad-based demand from server original equipment manufacturers and cloud infrastructure providers.

NVIDIA's Tesla V100. Image source: NVIDIA.

Source: Fool.com