Nvidia's AI chips already make billions, now Jensen Huang wants $2,000 per GPU in annual software fees
The Register was first to report Huang's quote from a question-and-answer session at the event on October 22. The CEO told attendees that software licensing "will become increasingly a major part of our company's business." The $2,000 figure was his example of how that licensing would be priced. Read Entire Article
Nvidia CEO Jensen Huang announced at GTC Berlin that software licensing for AI agents will become a significant revenue stream for the company. The CEO stated that the annual cost of running Nvidia's software for AI agents is approximately $2,000 per GPU. This figure represents the price of the software needed to run agents within Nvidia's "AI factories," or data centers built around AI work.
While this is lower than Nvidia's existing pricing, which ranges from $4,500 per GPU for a year to $18,000 per GPU for five years, the company has not clarified the relationship between the two pricing models. Nvidia has been rapidly developing agent software, and a recent launch introduced OpenShell Reference Architecture, an open-source sandbox that runs agents on Vera CPUs and controls their access to files, networks, and tools.
If every million licensed GPUs were to pay this annual fee, Nvidia could generate $2 billion in recurring annual revenue. This new pricing model does not depend on hardware sales and could provide a steady income stream, although its impact remains to be seen in the context of Nvidia's overall financial performance.
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