Wall Street is abuzz after the U.S. tech giant Nvidia reported its fourth-quarter earnings on Wednesday, Feb. 21, surpassing expectations and showing artificial intelligence is very much in demand. The company announced its profits grew to $12.3 billion in the quarter, up from $1.4 billion a year ago. Nvidia’s net income surged 769% year-over-year.

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“Generative AI has moved to center stage as governments, industries and organizations everywhere look to harness its transformative capabilities,” Nvidia CEO Jensen Huang said in a statement posted to the company’s website on Tuesday, Feb. 20, “GTC has become the world’s most important AI conference because the entire ecosystem is there to share knowledge and advance the state of the art. 

The California company makes chips for AI systems developed by Microsoft and Meta. Nvidia currently accounts for around 70% of all AI semiconductor sales. The company said revenue for the current quarter is expected to be $24 billion, an increase of 233% from 2023.

“The market was poised to sell the news following Nvidia’s earnings, given the sky-high expectations and deteriorating macro conditions,” Investing.com analyst Thomas Monteiro said, according to a Reuters report. “However, once again, the company left no doubt that the AI boom is much more than just a stock market narrative, but rather, the most significant bet from corporations worldwide at this moment.”