Nvidia CEO Says AI Capital Spending Is Appropriate, Sustainable

Nvidia Corp. Chief Executive Officer Jensen Huang, facing concerns that customers are overspending on data centers, said that the level of expenditures is appropriate and sustainable.

The build-out of artificial intelligence infrastructure will continue for seven to eight years, Huang told CNBC on Friday, saying that demand for AI is “just incredibly high.”

“AI has become useful and very capable,” Huang said. “The adoption of it has become incredibly high.”

Jensen Huang

Photographer: Bridget Bennett/Bloomberg

Heavy capital spending by many of the world’s biggest tech companies — including Amazon.com Inc., Alphabet Inc.’s Google, Meta Platforms Inc. and Microsoft Corp. — ...