Nvidia shares climbed 7.9% after CEO Jensen Huang told CNBC the AI infrastructure expansion would span seven to eight years. He called the massive spending "appropriate" given the computing transformation underway.

Huang emphasized that demand for Nvidia's GPUs remains "sky high," with older models reselling at higher prices. Companies like OpenAI and Anthropic are profitable but need more compute power to scale operations.

On competition, Huang acknowledged China as a rival but insisted on maintaining global market presence. He also praised Meta for leading AI adoption while stressing the need for AI to prove its real-world effectiveness.

Investors see Huang’s remarks as validation that Nvidia’s dominance in AI chips will persist through this multi-year cycle, supporting continued capital investment in semiconductor capacity.