Nvidia Launches Stand-Alone CPUs to Target Agentic AI Market

Nvidia is expanding its artificial intelligence hardware portfolio by launching its first stand-alone central processing units (CPUs). The company intends to secure market leadership in the CPU space to support the development of agentic AI, forecasting 20 billion dollars in CPU sales within the current year.

This expansion follows a period of massive growth for the chip manufacturer, which reported 215 billion dollars in revenue during the last fiscal year. The company expects revenue to grow by another 70% in the next fiscal year, driven by heavy infrastructure spending from major technology firms. However, this growth is heavily concentrated, with data center revenue accounting for 92% of the company's total earnings.

Nvidia faces significant headwinds in China, where the government encourages the adoption of domestic chips over foreign imports. This shift follows a series of sales blocks imposed by the United States government in April 2025. These regulatory pressures create a volatile environment for Nvidia as it attempts to maintain its global dominance in the AI chip market.