Nvidia Unveils $20B Vera CPU Revenue Plan to Offset China Loss

Key Facts

1Jensen Huang admitted that Nvidia's China revenue has fallen to zero.

2Nvidia expects Vera CPU revenue to reach nearly $20 billion this year.

In a major strategic pivot to compensate for the loss of the Chinese market, Nvidia revealed that its China revenue has dropped to zero, as admitted by CEO Jensen Huang. Huang stated the company expects nearly $20 billion in revenue this year from the new Vera CPU line, targeting a $200 billion addressable market.

The announcement comes amid intense competition in the CPU space, with AMD closing at $532.57, Intel at $132.87, and TSMC at $434.99 on June 25, per market data. While full details of the Vera CPUs are pending, investors view them as a key driver to offset the sharp decline in Chinese sales.

Nvidia shares (NVDA) closed at $195.74 on June 25, after reaching a high of $200.80 and a low of $192.13. Traders are watching for further updates on the Vera launch timeline, which could serve as the next major catalyst for the stock.