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Fact-check: Recent X posts and reports confirm Nvidia's $7B Mellanox acquisition (completed 2020) has driven explosive networking revenue growth, e.g., $11B last quarter (+263% YoY), $31B annually (10x since 2021), positioning it as a key AI/data center driver, directly supporting the article's claims. MarketWatch is reputable with no contradictions found in real-time X discussions.
How Nvidia turned a steal of a deal into its secret weapon
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Nvidia has leveraged its $7 billion acquisition of Mellanox to transform networking into a major revenue driver. The deal, initially seen as a bargain, has become a cornerstone of Nvidia's data center and AI infrastructure dominance. Networking sales have grown significantly alongside Nvidia's GPU business, contributing to the company's broader expansion in the AI chip market.