New York : Nvidia has raised its revenue forecast for the fourth quarter after reporting another strong jump in sales driven by rising global demand for artificial intelligence chips. The company said the momentum in its data center business remains high as major cloud providers and technology companies continue expanding their AI infrastructure.

In its latest earnings update, Nvidia reported that third quarter revenue grew by about 62 percent from a year earlier. Its data center division, which supplies processors used to train and run large AI models, contributed more than 51 billion dollars during the period ending October 26. The company said demand for its advanced processors remains far above supply in many regions.

For the fourth quarter, Nvidia expects revenue of about 65 billion dollars, higher than what analysts had predicted. The company also said it expects its gross margin to stay around the mid seventies range, a sign of strong profitability even as it ships larger volumes of chips.

Chief executive Jensen Huang said demand for AI computing continues to grow across cloud platforms, robotics, automotive and enterprise systems. He described the current phase as a long term buildout of global AI infrastructure rather than a short term trend.

Markets reacted positively to the companys outlook, and technology stocks in Asia and the United States rose following the announcement. Analysts said Nvidia’s growth helps calm concerns that the AI boom might be cooling, although some risks remain.

Nvidia still faces challenges such as limits on sales of its most advanced chips to China due to United States export rules. The company also acknowledged that a few large customers now make up more than half of its revenue, which increases exposure if any of them reduce orders. Power and land shortages for new data centers in several countries could also slow the pace of AI infrastructure expansion.

Even so, Nvidia said it has secured more than 500 billion dollars in chip bookings through 2026, reflecting strong confidence from customers. With cloud providers and AI developers continuing to invest heavily, the company said it expects growth to remain strong in the coming quarters.