Nvidia Estimates $2 Trillion Cloud Backlog, Forecasts Significant Revenue Growth by 2028
Nvidia reported a significant increase in revenue for its fiscal second quarter of 2026, with data center sales rising to $89.0 billion — up 117% year over year. During the earnings call, CFO Colette Kress highlighted that cloud industry backlog has surpassed $2 trillion and is expected to drive capital expenditures by top hyperscalers reaching nearly $800 billion in 2026 and $1.3 trillion in 2027. Nvidia's share of this spending appears substantial, with its fiscal second-quarter revenue from hyperscalers at $48.7 billion — a run rate suggesting about 24% market share within the top five hyperscaler capital expenditures. If maintained, this could translate to approximately $315 billion in revenue for calendar year 2027 alone. The company also noted continued strong growth from its ACIE (AI clouds, industrial and enterprise) segment at $40.3 billion — a 138% increase compared to the prior year. If current trends continue, data center revenue could reach between $575 billion and $630 billion in fiscal 2028.
Tickers: $NVDA
Topics: capital expenditures cloud computing hyperscalers revenue growth