Huang backs $1 trillion AI buildout as Broadcom surges and Iran strikes Kuwait

  • Jensen Huang said Nvidia will increase U.S. infrastructure investment to $1 trillion this year.
  • Broadcom reported $29.591 billion in third-quarter fiscal 2026 revenue, up 86% year over year.
  • Iran attacked a U.S. military base in Kuwait on the 3rd after earlier Strait of Hormuz exchanges.

Nvidia Chief Executive Jensen Huang said the company will raise its U.S. infrastructure investment to $1 trillion this year, arguing that AI infrastructure (systems supporting artificial intelligence) is as essential as roads, electricity, water and the internet. Speaking at a Group of 20 innovation ministers' meeting in North Carolina on the 2nd, Huang urged countries to expand data centers and said U.S. deregulation and pro-energy policies supported the plan. The figure exceeds Nvidia's $500 billion data center financing plan with financial institutions and the roughly $960 billion in cumulative free cash flow the company is expected to generate from 2026 through 2028. U.S. Commerce Secretary Howard Lutnick said data centers would benefit local communities, while Treasury Secretary Scott Bessent said technology companies needed to better explain their necessity. Huang also said AI regulation should focus on actual rather than hypothetical harm, and that both closed and open AI models are needed. Nvidia announced the Equinix Inference Exchange, a distributed inference platform, with Equinix and Together AI the same day. Broadcom reported fiscal third-quarter revenue of $29.591 billion, up 86% year over year, as AI chip revenue jumped 221% to $16.7 billion. Its fiscal 2026 AI revenue forecast rose to $58 billion, with projections of $115 billion in fiscal 2027 and $230 billion in fiscal 2028, although fourth-quarter guidance of $34.8 billion missed the $35.1 billion analyst estimate and weighed on the stock after hours. Meanwhile, Iran attacked a U.S. military base in Kuwait on the 3rd, widening renewed conflict with Washington over the Strait of Hormuz. Kuwait described the assault as an Iranian invasion, while Iranian state television called it retaliation for U.S. actions. President Donald Trump said the U.S. strikes were targeting Iran's radar, missile and mine-laying systems, and said he was prepared to launch further attacks. Some observers said Trump could pursue stronger military action after the November midterm elections.

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