Nvidia , the red-hot chipmaker that sells advanced processors to enable artificial intelligence technology, may have a customer bigger than anyone else. That could be Microsoft , UBS speculated in a note. The Wall Street bank pored over Nvidia’s filings and estimated that Microsoft was its largest indirect customer, contributing to 19% of Nvidia’s revenue in fiscal 2024. In a more recent disclosure, Nvidia’s language about its customers became vaguer, saying “two indirect customers each represented 10% or more of total revenue for the first quarter of fiscal year 2025.” It leads UBS to its guess that one of the two could likely again be Microsoft. Microsoft declined to comment. Nvidia sales have skyrocketed as companies such as Google parent Alphabet, Microsoft, Meta , Amazon and OpenAI buy billions of dollars of Nvidia’s graphics processing units, which are advanced and pricey chips required for developing and deploying AI applications. The Jensen Huang-led chipmaker’s incredible run is showing no signs of stopping with the stock up another 130% year to date and edging closer to a $3 trillion market cap. Nvidia has become so influential to the whole stock market that a good earnings report could unleash a wave of animal spirits that push the market to new heights. Earlier this month, Microsoft touted new computers with Qualcomm’s energy-efficient Arm-based chips designed to run AI features in Windows, without quickly using up battery life.
