Nvidia's Overlooked "Second Engine": Networking Business Quarterly Revenue Reaches $11 Billion, Surpassing Cisco with a 267% Year-over-Year Growth

According to 1M AI News monitoring, NVIDIA's networking business achieved $11 billion in revenue in the last fiscal quarter, a 267% year-over-year growth. With yearly revenue exceeding $31 billion, it is the company's second-largest revenue source after the computing business but has seldom been the focus of NVIDIA's external narrative. Zacks Investment Research Senior Stock Strategist Kevin Cook pointed out that this sector's quarterly $11 billion revenue surpasses Cisco's entire annual networking revenue. This business stems from NVIDIA's $7 billion acquisition of Israeli networking company Mellanox in 2020, whose product line includes NVLink (GPU interconnect within data centers), InfiniBand switches, the Spectrum-X Ethernet platform, and packaged optical switches, collectively forming the networking foundation of what NVIDIA refers to as the "AI factory."

Kevin Deierling, Senior Vice President responsible for this business, stated that NVIDIA is one of the few players in the market offering a complete full-stack solution as a networking vendor, selling through partner channels rather than shipping directly to customers.