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Nvidia's data center business quarterly revenue surpassed the gaming business for the first time to become the largest source of revenue.

Published :8/25/2020 2:41:57 AM

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In Nvidia's business system, game-related businesses have always been their largest source of revenue, but this situation has changed in the latest fiscal quarter, and data center business has become their largest source of revenue.

According to the financial report, revenue from the data center business reached 1.752 billion US dollars, an increase of 611 million US dollars from the 1.141 billion US dollars in the previous fiscal quarter, an increase of 53.5% from the previous quarter. In the same period last year, Nvidia’s revenue from its data center business was $655 million, a year-on-year increase of 167.5%.

Nvidia’s data center business’s revenue has increased significantly, making this business surpass the game business with a revenue of US$1.654 billion in the second fiscal quarter, becoming Nvidia’s largest revenue source for the first time.

In the last fiscal quarter, the revenue of the data center business was $198 million lower than that of the game business, and it was less than half of the game business in the same period of the previous fiscal year.

The data center business surpassed the gaming business and became Nvidia's largest source of revenue, related to the acquisition of Mellanox. Nvidia acquired Mellanox for US$6.9 billion earlier this year. Mellanox contributed approximately 14% of Nvidia’s total revenue during the quarter and 30% of its data center business revenue. Driven by the need for high-speed networks in cloud data centers to expand artificial intelligence services, Meleros Technology grew rapidly in the second quarter.