Nvidia CEO talks AI boom, addresses concerns about technology replacing workers
In an exclusive interview on FOX Business, Nvidia founder, CEO and President Jensen Huang expanded on "the big idea" behind the artificial intelligence (AI) boom, what it means for human jobs and the company’s plan to ramp up its chip production.
"AI can do a lot of our tasks, but they can't do 100% of our jobs. That's the big idea," Huang told "The Claman Countdown" host Liz Claman on Thursday.
"The idea that AI would somehow do 100% of somebody’s job is very, very unlikely and, quite frankly, impractical for any time in the horizon," he continued. "What is very likely is that AI will do 20, 30, 40% of 100% of the jobs in the world."
It’s been a year of wins for the tech-based "Magnificent 7" stock as their market cap currently sits at $3.5 trillion — the largest of any U.S. company.
TOP ETFS TIED TO ONE STOCK: NVIDIA
Nvidia's latest earnings report showed that in its fiscal third quarter of 2024, revenue was up 17% from the prior quarter and 94% on a year-over-year basis. Operating expenses were up 9% from last quarter and rose by 110% from a year ago. Net income came in at more than $19.3 billion in the quarter, which is an increase of 16% from the prior quarter and 109% from the same time last year.
Huang expressed his belief that the age of AI is continuing to fuel a tech renaissance, and will soon be a part of average Americans’ everyday lives.
"AI is going to revolutionize and transform everybody's jobs. And it's really important that everybody should learn how to use AI. They're not going to lose their jobs to AI," Huang clarified.
"If it happens, they're going to lose their jobs to someone who uses AI. And so that's the most practical way of thinking about it," he added. "And for the foreseeable future, that's absolutely going to be true."
The CEO applauded programs and tools like ChatGPT, Perplexity, Gemini and Clyde, claiming he uses them regularly and more people should, too.
"Jump on AI. I would encourage everybody to use it. And if you haven't had a chance to use ChatGPT… Perplexity… Gemini… Clyde, these are incredible AIs. I use it every single day," he said.
Nvidia's data center sales are driven by companies spending on AI chips amid an expansion of data centers aimed at enabling them to handle the complex processing needs of generative AI programs.
Huang indicated that the company is doing its best to meet demand for its Hopper and Blackwell semiconductor chip systems, and fully deliver to some of its biggest customers like SoftBank, Google, Microsoft and Oracle.
What can hold Nvidia back, according to Huang, is the scaling law: "The larger the model, the more data that you train it with and the more computing therefore you need, the more effective the AI becomes."
"All of this has to get ramped up. And we're talking about, not the number of chips only, but the number of tons of computers that the whole world's supply chain has to ramp up. So [there’s] nothing easy about it," Huang told Claman.
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"We try to be fair with everyone so that they can all get their infrastructure up and running. We also make sure that their infrastructure is ready. And so between us and them, there's no sense shipping computers if the data center and the power and the readiness of the system is not there," the CEO further explained. "And so we work very, very closely with all of our hyperscalers. We've been planning for this for some time."
"Everybody's really proud of the systems, they've stood up, and we're all just racing to get there," Huang added.
FOX Business’ Eric Revell contributed to this report.