Nvidia CEO Jensen Huang highlighted the increasing compute demands of future AI models, despite the open-source release of Chinese AI DeepSeek's R1 model. Huang also praised DeepSeek's innovation. Nvidia is projecting record-breaking growth with expected first-quarter revenue of $43 billion.

The biggest headline was the commentary provided by Jensen Huang during the call with analysts with respect to the release of DeepSeek late last month. While many investors hit the panic button, the chief executive explained that developments of this nature would increase demand for Nvidia's processors, not reduce it.

CEO Jensen Huang is already looking beyond the hype. A.I.’s next phase will be “physical A.I.,” he said during Nvidia’s fourth-quarter earnings call yesterday (Feb. 26). Physical A.I. is a form of A.I.