- On September 17, 2025, Jensen Huang attended a state banquet at Windsor Castle with US President Donald Trump and King Charles, and later hosted an “after-party” in London, committing to invest £2 billion in British AI start-ups. He distributed “awards” to 8 companies, boosting the UK’s move towards becoming an “AI superpower.”
- The “sovereign AI” strategy promoted by Huang emphasizes that each nation needs to build its own infrastructure, data, and AI models. However, these countries are heavily dependent on chips and capital from Nvidia, creating a paradox between “self-reliance” and “dependence on the US.”
- Nvidia has invested £500 million in Nscale (London), helping the young company quickly achieve a valuation of $3 billion. This model is being replicated in Europe, the Middle East, Japan, and Malaysia.
- Nvidia is expanding its customer base from Big Tech to governments, which possess greater financial potential. Revenue from “sovereign AI” is projected to reach $20 billion in 2025 (double 2024), while the company’s total revenue in 2024 was $130 billion. Bank of America estimates the sovereign AI market could reach $50 billion.
- Nvidia has signed agreements with numerous carriers and telecom equipment providers such as Deutsche Telekom, Orange, Ericsson, and SoftBank to create separate AI infrastructure for each nation.
- Major projects include: Stargate in the US ($500 billion), the EU launching a €20 billion fund to mobilize €200 billion, and the UAE building an AI data center consuming 5GW of electricity (equal to all of New York City).
- The Middle East is becoming a hotspot: the UAE established an AI university, developed domestic LLMs, and set up the multi-billion dollar MGX fund for AI investment.
- However, apart from China, no nation has the capacity to build a complete AI ecosystem, from hardware to software. Some minor efforts in Europe, such as Axelera AI (which received €61.6 million), are still very rudimentary.
- Risk: Widespread investment could easily lead to an oversupply of AI infrastructure and uneven economic efficiency. Yet, with the AI frenzy, governments continue to inject capital, and Nvidia leverages this hype to expand its influence.
📌 Jensen Huang is transforming himself into a “global AI ambassador,” promoting the concept of sovereign AI to sell Nvidia chips to governments worldwide. This strategy emphasizes that each nation needs to build its own infrastructure, data, and AI models. However, these countries are heavily dependent on chips and capital from Nvidia, creating a paradox between “self-reliance” and “dependence on the US.” Sovereign AI revenue is projected to reach 20billionin2025,withmassiveprojectslikeStargateintheUS(20billionin2025,withmassiveprojectslikeStargateintheUS(500 billion), the EU AI fund (€200 billion), and the UAE AI center consuming 5GW of electricity. Yet, apart from China, almost no nation is truly self-sufficient in AI, making “sovereign AI” largely an Nvidia marketing slogan.
