Nvidia Calls for Government Support to Boost AI Infrastructure in Brazil
Nvidia experiences growing demand in Brazil across sectors, while research institutions await government funding for AI-related GPU purchases. Recent financial results show substantial profit growth, yet the company faces competitive and regulatory challenges. Nvidia’s leadership emphasizes the need for investment to support AI development in Brazil amidst a challenging landscape.
Nvidia is seeing increased demand for its components and software from various sectors in Brazil, including retail and telecommunications. Marcio Aguiar, head of Nvidia’s Enterprise division for Latin America, noted in a recent interview that research institutions are currently awaiting government financial support to acquire Nvidia’s advanced graphics processing units (GPUs).
Aguiar emphasized that many Brazilian research laboratories and organizations are in discussions with the government to secure funding for high-performance computing hardware. Among those waiting for this investment are Banco do Brasil, Dataprev, Embrapa, and Serpro.
He pointed out that while Brazil has the potential to advance AI technology, it currently faces delivery issues from computer manufacturers due to financial constraints. In contrast, China benefits from substantial investments and a skilled workforce, further complicated by U.S. restrictions on technology exports.
Nvidia’s fiscal fourth-quarter results for 2025 revealed a net profit of $22.1 billion, marking a 79.8% increase year-over-year, with revenue reaching $39.3 billion, up 77.9%. The company’s forecast for the first fiscal quarter of 2026 also exceeded Wall Street’s expectations, allowing the market to alleviate worries regarding competitors like DeepSeek, a Chinese startup.
Aguiar acknowledged DeepSeek’s innovative approach to AI, stating that it’s possible to combine multiple large language models to create more efficient solutions. This reflects a significant evolution in AI technology usage and strategies among companies.
Despite Nvidia’s strong financial performance, its stock saw a slight dip in after-hours trading after a 3.67% increase during the trading day on Nasdaq. The company continues to navigate a competitive landscape marked by regulatory challenges and evolving industry demands.
In summary, Nvidia’s engagement with Brazilian institutions highlights the need for government support to enhance AI infrastructure in the country. The company’s strong financial results contrast with the challenges posed by funding delays and international import restrictions. With increasing competition from startups like DeepSeek, Nvidia’s adaptability in AI technology integration is crucial for maintaining its market position.
Original Source: valorinternational.globo.com
