Nvidia building ties with LatAm telcos to expand AI data infrastructure with its chips

Nvidia is intensifying contacts and business deals with telecom operators in Latin America as these companies move to expand their AI data infrastructure, both to meet internet demand and to serve corporate and government clients.

"Telecom companies have proven to be an important source of investment and a reliable supplier for the development of sovereign AI infrastructure. Conversations have been taking place from the European and LatAm headquarters of these companies and down to a regional level," Guilherme Fuhrken, Nvidia's corporate sales manager for Latin America, told BNamericas.

Fuhrken notes that operators have been investing in AI infrastructure based on relationships of "trust" and on existing contracts with governments and companies throughout the region.

"One of my mandates is to attract telecom companies to invest in building this infrastructure," he said.

Overall, demand for Nvidia's solutions remains consistently strong. In the first fiscal quarter of 2026 ended July, the company reported revenue of US$44.1bn, up 12% from the previous quarter and 69% year-on-year.

Of that total, data center revenue reached US$39.1bn, a 10% increase quarter-on-quarter and a 73% increase compared with the same period of last year.

Although Nvidia does not report results by region, demand has also been strong in Latin America, where the company has been strengthening partnerships with governments, educational institutions and public companies, in addition to working with the broader corporate sector.

"There has been a huge increase in the consumption of tokens, in the generation of tokens for generative AI, now with reasoning. So, this has kept the demand for GPUs high, which should continue for quite some time," said Fuhrken.

AI reasoning refers to the combination of hardware and software tools needed to build and deploy AI agents that can "reason" and make decisions.

Markets and supply

Among Latin American countries, Brazil stands out as the company's largest market by far, followed by Mexico and Chile.

In Mexico, Nvidia has ramped up talks not only with the federal government but also with states and sub-national entities, according to the executive.

"We expect that in a short space of time we will begin to see the materialization of what these [state] governments are planning," said Fuhrken.

Beyond the region's largest economies, Nvidia has been working to expand its presence and project portfolio in smaller countries.

In recent weeks, the team led by Fuhrken and Márcio Aguiar, director of enterprise sales in LatAm, visited the Dominican Republic, where they used an IDB event to strengthen engagement with local authorities and companies.

Other interactions have taken place with the governments of El Salvador and Suriname. In the latter, Nvidia's main focus is on the oil & gas industry, where ExxonMobil and TotalEnergies are among its clients.

The company is also in talks with the city of Rio de Janeiro, where Elea Data Centers plans to move forward with a complex of AI data centers called Rio AI City, in partnership with the municipal administration.

Regarding GPU supply capacity, the executive said it is now business as usual for Nvidia's main processor families, such as the Hopper, following the disruptions caused by the pandemic. Delivery times have fallen from up to one year to just a few months.

In Latin America, the company is also expected to begin supplying equipment for a new supercomputer for Brazil's Petrobras.

As BNamericas previously reported, Atos will serve as the integrator for the contract, which, according to Petrobras' technical specifications, must include servers equipped with Nvidia GPUs.