Nvidia is quietly growing its AI networking business as another key revenue source after chips, TechCrunch reported on March 18.

Nvidia's networking division has grown rapidly since it acquired Mellanox in 2020, posting $11 billion in revenue in the latest quarter. That was up 267% from a year earlier. Full-year revenue last year reached $31 billion.

Kevin Cook (케빈 쿡), chief equity strategist at Zacks Investment Research, said: "Nvidia's quarterly networking revenue is larger than the entire size of Cisco's networking business." He said: "Nvidia is bringing in in a single quarter what Cisco earns in a year."

But Nvidia is expanding its networking unit quietly without putting it front and center, TechCrunch reported.

Nvidia stepped up its data center networking business by acquiring Israel-based networking company Mellanox for $7 billion in 2020. Based on that, it introduced an 'AI factory' equipped with technologies for AI networking, including NVLink, InfiniBand switches and Spectrum-X.

Kevin Deering (케빈 디어링), senior vice president of Nvidia's networking division, stressed: "Networking is not just connectivity but the core of AI data centers." He said: "Nvidia provides a full-stack solution, not individual components." Nvidia is strengthening its market dominance by sticking to a strategy of spreading its networking technology through partners rather than selling it directly, TechCrunch reported.