AI chip market: Nvidia still leads
Industry coverage says Nvidia remains the dominant supplier of datacentre AI accelerators while AMD is pushing back with aggressive launches around its MI400 line. Commentators note that demand for Nvidia’s Blackwell family keeps the competitive picture lopsided even as rivals close gaps on price and timing. (ibtimes.com.au) (ibtimes.com.au)
Nvidia still controls the artificial-intelligence chip market in data centers, with Blackwell systems driving far more sales than Advanced Micro Devices has reached so far. (nvidianews.nvidia.com) Nvidia said on February 25, 2026 that quarterly data center revenue reached $62.3 billion, up 75% from a year earlier, and full-year revenue hit $215.9 billion. Its annual report said Blackwell products made up the majority of data center revenue in fiscal 2026. (nvidianews.nvidia.com) (marketscreener.com) Advanced Micro Devices is growing, but from a much smaller base. The company reported full-year 2025 data center revenue of $16.6 billion and fourth-quarter data center revenue of $5.4 billion, with Chief Executive Lisa Su pointing to demand for Epyc central processors and Instinct graphics processors. (ir.amd.com) (convergedigest.com) These chips are the engines inside artificial-intelligence data centers: they train large models and answer user prompts after deployment. The market is now being sold less as a single chip and more as a full rack of processors, memory, networking and software that can be installed as one system. (nvidianews.nvidia.com) (datacenterdynamics.com) That packaging shift favors Nvidia because it already sells the processors, the networking and the software layer many developers use to build and run models. International Business Times Australia, citing industry estimates, said Nvidia is still on track to hold roughly 75% to 85% of the accelerator market in 2026 even as rivals gain ground. (ibtimes.com.au) (nvidianews.nvidia.com) Advanced Micro Devices is trying to narrow that gap with its next rack-scale push. At Consumer Electronics Show 2026 in Las Vegas, Su outlined the Helios system for the third quarter of 2026, built around 72 Instinct MI455X accelerators and 31 terabytes of high-bandwidth memory. (ces.tech) (datacenterdynamics.com) AMD’s MI400 line is part of that same campaign. Coverage of the CES rollout said the family includes MI430X and MI440X systems, with Helios positioned as the larger rack design and a third-quarter 2026 release target. (datacenterdynamics.com) (techtimes.com) The gap is not only about hardware speed. Nvidia’s earnings call said Blackwell and Blackwell Ultra demand drove the latest quarter, while industry coverage keeps pointing to Nvidia’s software stack and installed base as reasons customers stay with the company when they expand clusters. (fool.com) (ibtimes.com.au) AMD’s argument is that buyers want a second supplier with lower prices and tighter launch timing, and its 2025 results show that demand is real. Nvidia’s numbers show that, as of April 2026, the market is still expanding fast enough for both companies to grow without changing the leader. (ir.amd.com) (nvidianews.nvidia.com)
