NVIDIA’s customer concentration is rising sharply as demand for AI chips drives its data center business. In the first half of fiscal 2027, the company’s three largest customers represented 44% of sales, while its five largest customers accounted for 70% when accounts receivable were included. That compares with 36% for the top two customers in fiscal 2026 and no single customer exceeding 10% in fiscal 2023. Data center revenue climbed from $15 billion in fiscal 2023 to $193.7 billion in fiscal 2026, with market consensus expecting another doubling in fiscal 2027. The concentration risk is heightened because disclosed customers may include intermediaries such as Dell and Hon Hai Technology (Foxconn), while underlying demand comes from cloud companies that are developing their own AI chips. Investor Michael Burry has identified the trend as a key risk, and NVIDIA is investing in neo-cloud (newer providers serving specialized AI workloads) companies such as CoreWeave and Nebius to broaden its customer base.