Nvidia's Robotics Platform Is Becoming The 'De Facto Standard,' Says Gene Munster As Chipmaker Launches $3,499 'Robot Brain'
Nvidia's robotics platform is being recognized as the 'de facto standard' in the industry, according to Gene Munster of Deepwater Asset Management. The company launched its Jetson AGX Thor chip, priced at $3,499, which is significantly faster than its predecessor. While robotics currently contributes less than 1% to Nvidia's revenue, it is projected to become a major growth driver. Nvidia is set to report earnings soon, with expectations of record revenue. The stock has shown a strong upward trend recently.
On Tuesday, Gene Munster, managing partner at Deepwater Asset Management, said Nvidia Corporation's NVDA robotics platform is emerging as the "de facto standard" in the industry as the company launched its powerful Jetson AGX Thor chip, positioning robotics as a key growth driver ahead of its closely watched earnings report.
Munster Highlights Robotics Growth Potential
In a post on X, formerly Twitter, Munster highlighted two key insights on Nvidia’s robotics prospects ahead of its earnings report.
First, Tesla Inc.’s TSLA use of Nvidia technology for its bots and the merging of its Full Self-Driving and Optimus computing teams suggest that Nvidia’s robotics platform is becoming an industry standard with tangible real-world applications.
Second, while robotics currently accounts for less than 1% of Nvidia’s revenue, it is expected to evolve into a significant growth driver and a focal point for investors over the next five years.
Jetson Thor ‘Robot Brain' Hits The Market
Munster's comments came a day after Nvidia announced that its Jetson AGX Thor chip module—marketed as a "robot brain"—is now available for $3,499 per developer kit, with shipments starting next month.
The chip, based on Nvidia's latest Blackwell GPU architecture, is 7.5 times faster than the previous generation and is equipped with 128GB of memory to power advanced AI models.
Once customers complete development, production-ready Thor T5000 modules will be sold for $2,999 each for bulk orders of 1,000 or more.
Nvidia said the chips are designed for humanoid robots, factory automation and autonomous vehicles, and have already been adopted by companies including Tesla, Amazon.com, Inc. AMZN, Meta Platforms, Inc. META, Boston Dynamics and Agility Robotics, noted CNBC.
Robotics Remains A Small But Growing Business
While robotics currently represents a small portion of Nvidia's revenue, the company has seen growth in its combined automotive and robotics segment, which reported $567 million in sales last quarter, up 72% year-over-year, the report said.
Nvidia has also invested in robotics startups, including Field AI, to expand its ecosystem.
Nvidia's High-Stakes Earnings Report Looms
Nvidia is set to report second-quarter earnings on Wednesday after the bell, with Wall Street expecting record revenue of $45.89 billion, up from $30.04 billion a year ago.
Analysts expect $1.00 in EPS, with Nvidia having beaten estimates for both revenue and earnings for 11 consecutive quarters.
Wedbush analyst Dan Ives called Nvidia the engine of the AI revolution, while Freedom Capital Markets strategist Jay Woods noted its massive weight in indexes like the SPDR S&P 500 ETF Trust SPY and Invesco QQQ Trust QQQ, making its results a potential market mover.
Price Action: On Tuesday, the stock rose 1.08% during regular trading and gained an additional 0.32% in after-hours trading, according to Benzinga Pro data.
Benzinga's Edge Stock Rankings indicate that NVDA continues to show a strong upward trend across short, medium and long-term periods. More detailed performance metrics are available here.
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