Nvidia coins it in

nvidiaNvidia’s moves to expand into areas outside its traditional gaming computer base appear to be paying off.

The company saw its quarterly revenue surge more than 50 percent for the second straight quarter.

The reason appears to be the use of its GPUs in self-driving systems and artificial intelligence.

The company predicted it would make $1.90 billion, plus or minus 2 percent, for the current quarter. This is a bit higher than the $1.88 billion Wall Street thought.

Revenue in the company’s graphics processing units’ business, which contributes more than three-quarters to its total revenue, rose 57 percent to $1.85 billion in the fourth quarter.

But the good numbers appeared to have come from its cloud services which more than tripled to $296 million in the quarter.

Nvidia Chief Financial Officer Colette Kress said the company’s cloud business was expected to grow like topsy.

Nvidia’s automotive business, which produces the DRIVE PX 2 self-driving system used by Tesla saw a 37.6 percent rise to $128 million.

Analysts had expected revenue of $135.3 million from the business.  Nvidia’s total revenue rose to $2.17 billion from $1.40 billion, beating the average analyst estimate of $2.11 billion.