At the heart of that outlook is Jensen Huang, who is framing a far wider market opportunity for Nvidia than investors had previously assumed.
Huang said on Saturday that his projection of a $200 billion CPU market “includes China,” a signal that Nvidia continues to factor in long-term demand from the country despite ongoing geopolitical and export-control friction between Washington and Beijing.
Speaking to reporters upon arrival in Taipei, he was direct when asked whether China was part of that forecast:
“I would think so.”
CPUs move from supporting role to AI core infrastructure
Traditionally, GPUs have powered the training of large AI models, but the rise of agentic AI systems—capable of executing tasks with less human input—has increased demand for CPUs that manage orchestration, inference workflows, and system-level coordination.
During Nvidia’s recent earnings call, Huang said the company’s new “Vera” central processors open access to a massive incremental opportunity. He estimated the CPU segment alone could represent a $200 billion market.
He also pointed to broader growth ambitions across Nvidia’s AI hardware stack, arguing that new products will help the company surpass its already aggressive long-term revenue expectations tied to its flagship AI chips.
Export controls and China’s uncertain chip access
The outlook comes as Nvidia continues navigating tightening U.S. export restrictions on advanced semiconductors bound for China.
Nvidia has received U.S. government licenses to sell its H200 AI chips—part of its high-end data center lineup—but Chinese regulatory approval remains unresolved, as Beijing continues to push for domestic chip self-sufficiency.
The diplomatic backdrop remains sensitive. Recent talks between U.S. President Donald Trump and Chinese President Xi Jinping in Beijing produced no immediate breakthrough that would clear the path for broader Nvidia chip sales.
At the same time, Reuters reported that roughly 10 Chinese companies have been cleared by U.S. authorities to purchase Nvidia’s H200 chips, though no confirmed deliveries have taken place.
“H200 has been licensed to ship to China. It would be terrific to be able to serve that market. The Chinese market is very important. It's very large, of course,” Huang said at Taipei’s Songshan Airport.
Taiwan at the center of AI hardware expansion
Huang’s visit to Taiwan comes ahead of next month’s Computex, a major global showcase for the semiconductor and electronics industry.
He is expected to meet with Taiwan Semiconductor Manufacturing Company (TSMC), the world’s largest contract chipmaker and a key production partner for Nvidia’s most advanced chips.
The broader ecosystem is also accelerating investment. Advanced Micro Devices recently announced plans to invest more than $10 billion into Taiwan’s AI sector, aiming to deepen its manufacturing and research footprint.
Asked whether Nvidia is making similar direct investments in Taiwan’s supply chain, Huang emphasized existing partnerships rather than formal new commitments.
“We haven’t announced anything in the past, but we’ve invested in and supported our partners here far more than that.”
He added that production of Nvidia’s “Vera Rubin” platform—combining the Vera CPU and Rubin GPU architectures—is ramping up, describing it as setting up “a very busy second half” for Taiwan’s semiconductor manufacturing ecosystem.
Supply chain scrutiny and chip diversion risks
Alongside expansion plans, Nvidia is also confronting heightened scrutiny over illegal chip diversion and export compliance.
Taiwanese prosecutors recently said they were investigating three individuals suspected of illegally exporting high-end AI servers built by Super Micro Computer that contained Nvidia chips restricted under U.S. export controls.
Huang stressed that Nvidia works closely with partners to ensure compliance but acknowledged limits to enforcement beyond its own corporate boundaries.
“Ultimately, Super Micro has to run their own company,” he said. “I hope that they will enhance and improve their regulation compliance and avoid that from happening in the future.”
The issue follows earlier legal action in the United States, where the Justice Department charged individuals linked to Super Micro—including its co-founder—with allegedly helping smuggle billions of dollars’ worth of advanced U.S. AI technology into China in violation of export laws.
A market shaped by scale, geopolitics, and speed
Between rising AI workloads, expanding CPU demand, and persistent geopolitical constraints, Nvidia’s strategy reflects a balancing act between global demand and regulatory fragmentation.
Even so, Huang’s comments underscore a consistent message: despite restrictions, China remains embedded in Nvidia’s long-term market calculus—and the AI hardware race is still expanding faster than policy boundaries can easily contain.