The adage, "AMD graphics cards shine in image quality, while NVIDIA cards excel in networking," was once a light - hearted jest within the DIY enthusiast community. However, NVIDIA has staged a remarkable comeback in the realm of network switching chips.

In 2020, NVIDIA made a bold move by acquiring the Israeli chip manufacturer Mellanox for a hefty $6.9 billion. At the time, given NVIDIA's revenue scale, this acquisition was widely regarded as a high - stakes gamble. But five years on, this deal has cemented its place as one of the most triumphant mergers and acquisitions in the history of the semiconductor industry.

With the current AI market experiencing a meteoric rise, NVIDIA has capitalized on the synergistic relationship between its powerful GPU performance and Mellanox's advanced network chips, thereby securing a dominant foothold in the field.

Data from the second quarter of 2025 reveals that NVIDIA's revenue from Ethernet switch equipment soared to $2.258 billion, marking a staggering 6.5 - fold increase year - on - year. Its market share also skyrocketed to 15.6%, enabling it to surpass competitors like Arista, HPE, and Huawei.

Especially in the data center sector, NVIDIA has forged an absolute advantage with its network chip products. The revenues of companies such as Cisco and Arista pale in comparison, trailing significantly behind NVIDIA.