NVIDIA Moves Gaming Segment Under “Edge Computing”, Posts 29% Revenue Growth From Blackwell Workstations But Gaming GPUs Slow Down Due To “Elevated” Memory Prices

NVIDIA's Gaming segment will now be reported under the "Edge Computing" segment in future earnings results as the company pivots from being a GPU manufacturer to an ecosystem provider.

NVIDIA's Edge Computing Segment Will Now Include All Client Markets, Including Gaming

NVIDIA announced its latest earnings, where it posted a record revenue of $81.6 billion for Q1 FY2027. The bulk of the revenue came from the Data Center segment, but the gaming market revenue wasn't presented in the earnings chart. The company confirms that it has now placed Gaming alongside other segments under a new segment, called Edge Computing.

Unlike the Data Center segment, which has two sub-markets: Hyperscale and ACIE (AI Clouds, Industrial and Enterprise), the Edge Computing segment is a singular segment consisting of various sub-markets. The entire revenue of these sub-markets will now fall under "Edge Computing". To name the sub-markets under Edge Computing, we are looking at: PCs, Game Consoles, Workstations, AI-RAN base stations, robotics, and automotive (essentially devices for agentic and physical AI but with a focus towards the client).

Previously, NVIDIA had Gaming (GeForce GPUs & Console SoCs), Professional Virtualization (Workstation & Pro), Auto (Automotives), and OEM/Other segments listed separately. But starting FY2027, that won't be the case anymore. So there's no way of telling how much gaming revenue NVIDIA generated from its RTX GPUs or console SoCs. Meanwhile, AMD still showcases gaming revenue separately, which includes Radeon & Console segments.

Edge Computing revenue for the first quarter was $6.4 billion, up 29% from a year ago and up 10% sequentially. The increases were driven by robust Blackwell workstation demand, partially offset by slower consumer PC demand that was tempered by elevated memory and systems prices.

NVIDIA

Although this change shouldn't be a major deal, it does limit information regarding the performance of the GeForce, Pro, and Console segments in terms of revenue.

NVIDIA does give some insight that its new Blackwell workstation demand was robust, but at the same time, consumer PC demand was slowed down due to elevated memory and component prices. Memory prices are on the rise as the AI supercycle continues to gobble up more than DRAM makers can produce; as such, consumers are left with no choice but to either pay higher prices or hold off purchases.

The following are the main developments that NVIDIA made in the Edge Computing segment during the first quarter of FY2027:

• First-quarter Edge Computing revenue was $6.4 billion, up 10% from the previous quarter and up 29% from a year ago.
• Released NVIDIA DLSS 4.5 Dynamic Multi Frame Generation and previewed the next generation of DLSS 3D-guided neural rendering model, DLSS 5, NVIDIA’s most significant graphics breakthrough since ray tracing in 2018.
• Accelerated and optimized key local agentic models, including Gemma 4, Qwen, Mistral, and NVIDIA Nemotron for NVIDIA RTX and edge devices.
• Announced the NVIDIA Alpamayo 1.5 open model and NVIDIA Omniverse NuRec technologies that enable autonomous driving systems at scale.
• Expanded partnership with Hyundai Motor Company and Kia for next-generation autonomous driving built on the NVIDIA DRIVE Hyperion platform, and expanded partnership with Uber to launch a fleet of autonomous vehicles powered by full-stack NVIDIA DRIVE AV software.
• Announced that BYD, Geely, Isuzu, and Nissan are building level 4-ready vehicles on the NVIDIA DRIVE Hyperion platform, and introduced NVIDIA Halos OS, a unified safety architecture for AI-driven vehicles.
• Announced new NVIDIA Cosmos and NVIDIA Isaac GR00T N models, new Isaac simulation frameworks, the general availability of NVIDIA IGX Thor, and physical AI leaders building on NVIDIA technology.
• Partnered with global industrial software leaders to accelerate AI-driven design, engineering, and manufacturing using NVIDIA CUDA-X, NVIDIA Omniverse, and accelerated computing.
• Announced collaboration with T-Mobile and Nokia to integrate physical AI applications on AI-RAN-ready infrastructure, as well as a commitment with global telecom leaders to build 6G wireless networks on AI-native, open, and secure platforms.

So this shift shows that NVIDIA is evolving from a traditional GPU company into a broader AI ecosystem provider, consolidating its Gaming and Client segments under the new "Edge Computing" umbrella.

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