Nvidia CEO: Coronavirus caution shaves $100 million from Q1 expectations

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Jensen Huang, CEO of Nvidia, said in an interview with VentureBeat that he shaved Nvidia’s expectations for graphics and AI chip revenue in the current quarter because the coronavirus could affect the company’s supply chain.

Citing the coronavirus outbreak in China, Huang said the company is watching the situation closely. So the company shaved the revenue estimate for the first quarter out of caution. But he also said the effect is mitigated in part because a lot of Nvidia’s production (via contractors) is based in Taiwan.

But a third of Nvidia’s gaming business is in China, and the lockdown on the country’s citizens means they aren’t going to be doing a lot of shopping, he said. But it may also mean that people will stay at home and play more games.

Because of the coronavirus, Nvidia and other companies pulled out of Mobile World Congress, the big mobile tech trade

 


This article was originally published on on VentureBeat.

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