Nvidia Becomes Top Data Center Ethernet Switch Vendor as AI Cluster Spending Surges, IDC Reports
By
Shane Snider
Summary
Nvidia has become the leading vendor in the data center Ethernet switching market, according to IDC, generating $2.1 billion in revenue in Q1 2026 — a 193% year-over-year increase — and capturing 21.5% market share. The surge is driven by operators building large AI clusters who are buying Nvidia's networking as part of integrated, GPU-centric AI platforms. The broader Ethernet switch market grew 39.8% year over year to $15.4 billion, with data center switching accounting for $10 billion of that total, up 61%.
Source
bskyNvidia Becomes Top Data Center Ethernet Switch Vendor as AI Cluster Spending Surges, IDC Reportsdatacenterknowledge.comKey quotes
· 3 pulledNvidia has become the leading vendor in the data center Ethernet switching market, according to IDC, as operators building large AI clusters pour money into high-speed networking.
The company generated $2.1 billion in data center Ethernet switch revenue during calendar Q1 2026, up 193% from a year earlier, giving it a 21.5% market share, IDC said.
The broader Ethernet switch market grew 39.8% year over year to $15.4 billion. Data center switching accounted for $10 billion of that total, up 61%.
You might also wanna read
Nvidia Reports Record Q3 2026 Earnings: Data Center Revenue Hits $51.2 Billion with $10 Billion Quarterly Growth
Nvidia reported record-breaking Q3 2026 earnings with $57 billion in revenue and $51.2 billion from its data center business, representing a
The Verge·7mo agoNvidia Supplier Foxconn Posts 40% Jump in Q2 Revenue
Nvidia Invests $4 Billion in Photonics Technology for AI Data Center Infrastructure
Nvidia is investing $4 billion total ($2 billion each) in Lumentum and Coherent, two companies developing photonics technology for AI data c
The Verge·4mo ago
Bitfarm Shifts from Bitcoin Mining to AI Data Center Services by 2027
Bitfarm, a major Bitcoin mining company, is pivoting from cryptocurrency mining to AI data center services by 2027. The company plans to lev
tomshardware.com·7mo ago
Nvidia Acquires AI Chip Startup Groq's Assets in $20 Billion Deal
Nvidia is acquiring assets from AI chip startup Groq for approximately $20 billion in cash, marking Nvidia's largest acquisition to date. Th
cnbc.com·6mo agoNvidia Reaches $5 Trillion Market Valuation, Becoming First Company to Hit Milestone
Nvidia has become the world's first company to reach a $5 trillion market valuation, with shares rising to over $211. The chipmaker achieved
The Verge·8mo ago
Comments
Sign in to join the conversation.
No comments yet. Be the first.