Quarterly Outlook
Q4 Outlook for Investors: Diversify like it’s 2025 – don’t fall for déjà vu
Jacob Falkencrone
Global Head of Investment Strategy
Chief Investment Strategist
Nvidia’s story keeps getting bigger. Once known mainly for its GPUs, the company is now spreading across the entire AI landscape — powering governments, telecom networks, healthcare, retail, and more. It’s becoming the backbone of the global AI economy.
Its latest partnerships stretch across industries — from government supercomputing to telecom networks, pharmaceuticals, retail, and quantum computing. Together, they paint a picture of Nvidia building the digital backbone of the AI economy.
NVIDIA announced a landmark collaboration with Oracle Corporation and the U.S. Department of Energy (DOE) to build the DOE’s largest AI supercomputer for scientific discovery.
The projects will advance research and national security, with estimated AI chip bookings around $500 billion. This cements Nvidia’s leadership in sovereign and public-sector AI infrastructure.
In a surprise move, Nvidia is investing $1 billion for a 2.9% stake in Nokia, co-developing AI-native 6G networks and next-generation radio access (AI-RAN) systems. The two aim to combine Nvidia’s AI compute stack with Nokia’s telecom hardware. T-Mobile US and Dell Technologies will be the partners in trials for the AI-RAN stack.
This partnership could help U.S. carriers modernize networks, with Nvidia effectively embedding itself into the “nervous system” of future connectivity.
Nvidia is deepening its push into enterprise software:
These deals expand Nvidia’s ecosystem beyond hardware — into the software and security layers of corporate AI adoption.
Nvidia and Eli Lilly are collaborating to accelerate drug discovery using generative AI. The partnership will apply Nvidia’s BioNeMo platform to analyze molecular data and design potential drug candidates faster — a move that could shorten R&D timelines across pharma.
It reinforces how Nvidia’s compute power is being applied in life sciences — an area with both social impact and long-term commercial potential.
A broad industrial cohort—including Siemens, FANUC, Foxconn Fii, TSMC, Toyota, Amazon Robotics, Figure, Agility Robotics—will adopt Nvidia’s Omniverse, Isaac, Jetson, and IGX Thor platforms.
These collaborations extend AI from virtual training environments to real-world robotics and smart-factory automation.
Nvidia is already working with Lowe’s to bring AI into physical retail operations. Using Nvidia’s Omniverse and computer-vision tools, Lowe’s aims to automate inventory management and improve in-store analytics.
It’s a glimpse into how AI will move from data centers into day-to-day business operations.
Nvidia also launched NVQLink, a system connecting quantum processors with GPUs and CPUs. Seventeen quantum companies and nine research labs are part of the collaboration — putting Nvidia at the center of the next frontier in high-performance computing.
With Donald Trump and Xi Jinping scheduled to meet in South Korea at the tail end of the APEC 2025 Summit, investors are watching carefully for any shifts in U.S. export policy on high-end AI chips. The question is whether the U.S. will ease, tighten or redefine the rules governing sales of chips such as Nvidia’s Blackwell series to China. Even the possibility of a “China-safe” variant of the chip could alter the size of Nvidia’s total addressable market (TAM) and its pricing power.
But the significance goes beyond just that bilateral meeting. On the sidelines of the summit, Nvidia’s leadership is expected to meet with major Korean conglomerates—including Samsung Electronics, Hyundai Motor Group and others
These meetings could signal broader regional alignment on semiconductor supply chains and AI infrastructure investment. If Korea’s chip, memory and auto players agree to U.S.-led frameworks, that may strengthen Nvidia’s role; conversely, any pivot toward China or supply-chain decoupling would raise pressure on margins and market access.
Nvidia’s transformation from a chipmaker to a full-stack AI platform puts it in a class of its own. Its partnerships now touch nearly every major growth area — data centers, telecom, healthcare, robotics, and enterprise software. The company remains the core enabler of the global AI build-out, and its upside potential is still meaningful.
But investors should also stay realistic: margin pressure, policy risks, and market cycles are real. Nvidia remains the undisputed leader of the AI infrastructure wave — but leadership comes with higher expectations and thinner room for error.