The Moment Jensen Huang Realized Nvidia 'Won't Have to Die' Came After a Call From This CEO: 'For the Whole Time, 30 Years…'
Key takeaways
- A determined outreach by Nvidia’s founder secured a life‑saving partnership with TSMC, fueling Nvidia’s rise and driving strong earnings for both companies.
- Nvidia near bankruptcy in late 1990s
- TSMC Q3 revenue $46.72 billion
- TSMC YoY revenue growth 41.2%
What happened
Nvidia CEO Jensen Huang explained how a persistent phone call and a personal letter led to a long‑term partnership with Taiwan Semiconductor Manufacturing Co., saving Nvidia from potential bankruptcy in the late 1990s. Huang’s outreach eventually earned TSMC founder Morris Chang’s invitation to Taiwan and a promise of strong support, which helped Nvidia grow from a near‑bankrupt startup to a top customer of TSMC within a few years. The story was shared on a vlog with Lex Fridman, and Huang…
Why it matters
The partnership with TSMC was a turning point for Nvidia, providing the manufacturing capacity and financial stability needed to develop high‑performance graphics and AI chips. TSMC’s recent third‑quarter revenue of $46.72 billion, up 41.2% YoY, reflects the scale of the relationship and the broader AI demand driving…
Short-term and longer-term
Short-term. Over the next few days, Nvidia’s and TSMC’s shares may react to the Q3 earnings release and any forward guidance.
Longer-term. For investors, the story reinforces Nvidia’s strategic dependence on TSMC and the broader AI boom.