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Nvidia networking revenues exceed Cisco in Q2
Nvidia's Q2 networking revenues of $17.5 billion surpassed Cisco's $17.3 billion total revenue.
Key points
- Nvidia's Q2 networking revenues reached $17.5 billion, exceeding Cisco's $17.3 billion total.
- Jensen Huang acquired Mellanox for $6.9 billion in 2019 to build integrated networking.
- Analyst Sameh Boujelbene credits Nvidia's compute and networking integration for AI success.
Why it matters. This revenue milestone confirms Nvidia's shift from a GPU vendor to a system builder, simplifying AI workload deployments through integrated architectures.
Nvidia's networking revenues exceeded Cisco's total revenue in Q2, reaching $17.5 billion compared to Cisco's $17.3 billion. Jensen Huang began building this status in 2019 by acquiring Mellanox for $6.9 billion to create integrated compute and networking architectures. Analyst Sameh Boujelbene stated that this tight integration optimizes AI workloads and speeds time to market for customers.
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Nvidia networking revenues exceed Cisco in Q2
Nvidia has evolved beyond its reputation as a graphics and artificial intelligence hardware leader to become a titan of the networking industry. In the second quarter, the company reported networking revenues that exceeded $17.5 billion, a figure that surpassed Cisco's total revenue of $17.3 billion for the same period. This achievement marks a significant shift in the market landscape, where Nvidia's datacenter Ethernet sales now lead any other vendor globally. The company's rise is largely attributed to its substantial $6.9 billion bet on Mellanox, which integrated the networking technology into its broader ecosystem. Analysts suggest that this strategic move has allowed Nvidia to capture a larger share of the enterprise market, challenging established competitors like Cisco. As the company continues to expand its footprint, it remains the world's most valuable corporation, driven by demand for both AI infrastructure and high-speed data transmission.