Citigroup issued a research report stating that NVIDIA (NVDA.US) CEO Jensen Huang delivered a keynote speech at GTC Berlin, with the core message being that the central bottleneck in current artificial intelligence development remains concentrated in the pace of manufacturing and deployment, rather than demand.
The report noted that the outcomes of the Berlin summit help reinforce market confidence that the Vera Rubin architecture will successfully achieve mass production between 2027 and 2028. The firm maintained its "Buy" rating and $315 price target on NVIDIA.
Citigroup pointed out that NVIDIA is making comprehensive efforts at both the upstream and downstream ends to break through the bottleneck. On the upstream side, the company signed new agreements with key suppliers in advanced packaging, substrates, testing, and optical engines, successfully extending its multi-year capacity layout through 2028, including additional capacity for CPO co-packaged optics. On the downstream side, NVIDIA's DSX POD containerized factory design can dramatically reduce on-site deployment cycles from six months to 14 days, with deliveries expected in early 2027 to help customers accelerate monetization.
During the speech, Huang also linked agentic artificial intelligence to rising token consumption, and introduced a new OpenShell tool to safeguard AI security.
Comments