Nvidia CEO Predicts Two Factories Needed for AI Integration

Nvidia CEO Jensen Huang emphasized that manufacturers will need a second factory to implement artificial intelligence into their product offerings, citing the automotive industry as a prime example. In a keynote address at Nvidia’s annual GTC conference, Huang stated that every industry will have two factories in the future: one for producing physical products and another for processing AI-related tasks.

This new normal will span across various industries, including those with smart speakers, which will require separate factories for AI development. The partnership between Nvidia and General Motors was also announced, marking a significant expansion into the automotive sector.

Nvidia supplies GPUs to several major car brands, including Waymo and Tesla, and has previously worked with these companies on their self-driving car initiatives. This new deal with GM aims to “revolutionize the way they manufacture” and design cars, among other applications.

Huang also mentioned that Nvidia’s partnerships are available to the car industry, as demonstrated by the company’s existing collaborations with major brands like Toyota and Mercedes-Benz. The chipmaker has a rich history of working with various automotive companies, and this new partnership is expected to further solidify its position in the market.

Source: https://fortune.com/2025/03/20/nvidia-ceo-jensen-huang-general-motors-tesla-waymo-toyota-mercedes-benz-volvo-hyundai-artificial-intelligence-gtc