Nvidia's CEO Signs Japanese Industrial Giants for Physical AI Collaboration
Nvidia CEO Jensen Huang has secured partnerships with major Japanese industrial companies, including Toyota, Fanuc, Kioxia, and others, to advance physical AI applications in manufacturing. This move aligns with Nvidia’s broader strategy of leading the next phase of artificial intelligence development beyond data centers into robotics and automation. The company is reorganizing its financial reporting structure around key growth areas like edge computing and data center segments. In Q2 2026, the data center segment reported $75 billion in revenue (up 92% YoY), while the new edge computing segment generated $6.4 billion (up 29%). Nvidia is forecasting $1 trillion in demand for its Blackwell and Rubin chips from 2025 to 2027, reinforcing confidence in long-term growth. While physical AI may not significantly impact near-term revenue, it represents a strategic shift toward robotics and automation. The company's full-stack solutions—DGX systems, Jetson platform, and Cosmos simulation tools—are central to this vision.
Topics: artificial intelligence edge computing Nvidia partnerships robotics