Nvidia’s Jensen Huang pushes back on agentic AI fears, says ‘markets got it wrong’

Nvidia CEO Jensen Huang argues that AI won't kill enterprise software and that the investors are misreading the room. The IT sector has experienced a shockwave across the market due to the volatile "SaaSapocalypse" narrative. Now, Huag claims that it is a fundamental misunderstanding.

CNBC quoted Nvidia CEO saying, “I think the markets got it wrong,” dismissing the scare about AI agents replacing the enterprise software industry. He believes that rather than replacing, the companies will leverage AI agents that can perform tasks like writing code, finding bugs, and building new features, bringing efficiency to engineers.

The dynamic is counterintuitive, Huang claims. Providing examples of internet browsers and Microsoft Excel, he predicts that AI agents will function as an 'intelligent workforce' that operates within software platforms and tools, refining the entire workflow.

“All of these tools that we use today, whether it’s Cadence or Synopsys or ServiceNow or SAP
, these tools exist for a fundamentally good reason. These agentic AI will be intelligent software that uses these tools on our behalf and help us be more productive,” said Huang.

“In the end, we need the tools to finish their work and put the information back in a way that we can understand,” he added.

The remarks came after Nvidia recorded $215.9 billion in annual revenue. The company stated that its quarterly revenue rose by 73%, and its annual revenue increased by 65%. These record-breaking figures, reportedly driven by a $62.3 billion quarterly performance in its Data Centre. This is projected to be due to the recent global investment in the hardware required to power the "Agentic AI" era.