Nvidia Jensen Huang warns- Companies may become obsolete if they don’t embrace AI_1

On October 22, Jensen Huang, CEO of Nvidia, emphasized the critical importance of embracing AI for companies, stating that it is essential for their survival. He explained that AI will dramatically transform chip design, software, and supply chain operations, urging tech leaders to evolve their organizations into AI-driven entities in preparation for what he calls a “new industrial revolution.”

Speaking at the Gartner IT Symposium/Xpo, Huang noted that CEOs and CIOs should begin their journey by integrating AI into their operations. He stressed that it’s vital for CIOs to identify effective areas within their companies and then explore how AI can enhance those operations.

Huang shared that Nvidia has already implemented this mindset by applying AI in three key areas: chip design, software development, and supply chain management. He remarked, “When our most impactful operations run smoothly, it becomes easier to drive efforts around us.” The AI in question essentially functions as “AI chip designers” and “AI software engineers,” though he clarified that he does not foresee AI replacing Nvidia’s employees anytime soon.

Looking ahead, Huang outlined Nvidia’s long-term goal of developing what he describes as an “AI brain.” This initiative aims to gather knowledge about business processes, operational methods, and customer interactions, which will then be fed into the AI. The ultimate aim is to facilitate direct communication between CIOs and CEOs through this AI framework. “Nvidia has started converting all proprietary data into a type of AI,” he stated, urging that “everyone should do the same.”

To support this vision, Nvidia announced a new tool designed to help AI better understand and “absorb” PDF documents, as traditional AI has struggled to process unstructured data like emails and PDFs. This advancement suggests that companies could eventually have a vast number of digital employees—AI agents—working alongside human staff in marketing, sales, engineering, and supply chain roles. For this to become a reality, everyone, including tech leaders, must learn how to effectively communicate with AI.

Nvidia is collaborating with software companies like SAP and ServiceNow to “integrate AI agents into their systems,” as well as partnering with professional service firms like Accenture to create a platform for AI agents within private data centers. Huang reiterated, “You still need to write code,” adding that “you will communicate with AI in a structured way.”

He concluded by stating that computation is now ubiquitous and predicted, “In the future, accelerated computation will be everywhere, and AI will be omnipresent.”