CEO Jensen Huang discussed the impact of Chinese startup DeepSeek's new artificial intelligence model in a Wednesday interview with CNBC's Jim Cramer at Nvidia's annual GTC conference. Huang asserted that the groundbreaking model will actually require more computation than many in the industry thought.

CEO Jensen Huang isn't sounding the alarm over the introduction of AI models like China's inexpensively trained DeepSeek R1. Instead, the chip executive said the world needs far more computing power to handle so-called reasoning and agentic AI applications than previously anticipated.

NVIDIA's stock might've first crashed when China's DeepSeek released its R1 model, but its CEO believes that models such as DeepSeek's will be a net positive for his company in the long run. NVIDIA CE