Nvidia's AI Sales Surge 123% to $709M, Beating Expectations

Key Takeaways

• JPMorgan forecasts corporate earnings growth of nearly 30% in 2026, driven by the AI investment boom, but warns that rising funding costs and heavy debt use by AI infrastructure builders pose serious risks.
• Beth Kindig identifies a $1 trillion AI infrastructure opportunity as spending shifts from cloud providers to enterprises and sovereign AI customers, with Nvidia's ACIE business growing 138.5% year over year to $40.3 billion.
• U.S. senators Josh Hawley and Richard Blumenthal sent nine questions to Google CEO Sundar Pichai about AI products like Gemini being used in classrooms, demanding answers by November 2.
• Anthropic is extending text watermarking to older Claude AI models including Mythos 5, Opus 4.7, Opus 4.6 and Sonnet 4.6 starting November 3.
• Nokia's AI and cloud sales surged 123% year over year in Q3 2026 to about $709 million, while Ericsson grew 7% organically, though Nokia shares fell 10% despite beating expectations.
• New Zealand-based Arbitr Group offers an AI dubbing service that instantly translates executive videos into multiple languages to help Japanese firms expand global outreach.
• A Brazilian labor court fined two lawyers about $16,000 for using prompt injection in a court filing to manipulate the AI tool Galileu into reviewing their case superficially.
• Global nuclear reactors under construction have reached a 40-year high of 79, driven by rising fossil fuel prices and AI energy demands, with Egypt building new plants with Russian help.
• Georgia Tech researchers developed ORISA, a tool that can recover deleted AI chat conversations from Android phones by searching working memory, presented at the 2026 IEEE Symposium on Security and Privacy.
• Fortinet launched the FortiGuard Inline AI Security Service, which inspects AI traffic through FortiGate infrastructure, detects 35 categories of personally identifiable information, and supports text, images, audio, video and code inspection.

JPMorgan warns AI profit boom carries funding risk for investors

JPMorgan says the global profit cycle is unusually strong, with corporate earnings expected to grow nearly 30% in 2026 and 20% in 2027. The AI investment boom is the main driver, and U.S. operating profits are now forecast to rise 27% this year instead of the original 13% guess. Energy sector profits have also jumped over 80%, and about 90% of S&P 500 companies are growing earnings. However, JPMorgan warns that rising funding costs and heavy debt use by AI infrastructure builders could create serious risks ahead.

Beth Kindig spots $1 trillion AI infrastructure opportunity beyond Nvidia

IO Fund analyst Beth Kindig says the next big AI spending wave is shifting from cloud providers to enterprises, neoclouds and sovereign AI customers. She points to Nvidia's ACIE business growing 138.5% year over year to $40.3 billion in fiscal Q2, faster than its hyperscaler segment. Dell expects 200 gigawatts of AI data center growth through 2030, with over $1 trillion in opportunity. Kindig sees Dell and Super Micro Computer as direct beneficiaries because these customers tend to buy full AI infrastructure packages including storage and networking.

Senators demand Google explain AI in classrooms

Two U.S. senators, Josh Hawley and Richard Blumenthal, sent nine questions to Google CEO Sundar Pichai with a November 2 deadline. They expressed grave concern about Google pushing AI products like Chromebooks, Google Classroom, Gemini and Guided Learning to children in schools. The senators want to know about safeguards, whether some AI features are turned on by default, and if schools can actually disable them. They also asked whether Google tracks student emotional dependence, harmful interactions or signs of self-harm.

Anthropic adds text watermarking to older Claude AI models

Anthropic is expanding its text watermarking feature to older versions of its Claude AI models starting November 3. The update will apply to Mythos 5, Opus 4.7, Opus 4.6 and Sonnet 4.6. This is not the first watermark Anthropic has released, but it extends the protection to a wider group of existing model versions.

Nokia AI sales surge 123% vs Ericsson 7% growth in Q3 2026

Nokia reported AI and cloud sales jumping 123% year over year in Q3 2026, while Ericsson grew 7% organically thanks to its core mobile networks business. Nokia's AI and cloud sales reached about $709 million, or roughly 12% of total sales, with €1.5 billion in new orders from hyperscalers. Ericsson's Networks segment delivered a strong 23.1% adjusted EBITA margin. Despite beating expectations, Nokia shares fell about 10% due to company-specific concerns and a broader tech sector sell-off.

AI dubbing service helps Japanese firms reach global audiences

New Zealand-based Arbitr Group has created an AI dubbing service that instantly translates company executive videos into multiple languages. The tool gives leaders multilingual voices and speeds up public disclosures. Co-CEO David Sowerby says traditional dubbing often misses a speaker's passion and nuance. The service aims to help Japanese companies expand their global outreach.

Brazilian lawyers fined for hiding prompt injection in court filing

A Brazilian labor court fined two lawyers about $16,000 after finding hidden text in a legal filing. The hidden message tried to trick the court's AI tool named Galileu into reviewing the case superficially. The technique is called prompt injection and inserts secret commands into documents. The court called it an act offensive to the dignity of justice and reported the lawyers to the state bar association.

Global nuclear reactors under construction hit 40-year high

There are now 79 nuclear reactors being built around the world, the most since 1986. Rising fossil fuel prices and the energy demands of artificial intelligence are driving this increase. Egypt is among the countries constructing new nuclear plants with help from Russia. The trend reflects growing need for large-scale clean energy sources.

Tool recovers deleted AI chats from Android phones

Georgia Tech researchers created a tool called ORISA that can recover deleted conversations from AI assistants on Android phones. The tool searches a phone's working memory for pieces of past conversations. In tests, ORISA rebuilt a deleted session and retrieved information that the original session could not access. The research was presented at the 2026 IEEE Symposium on Security and Privacy.

Fortinet launches AI security service for FortiGate customers

Fortinet introduced the FortiGuard Inline AI Security Service, a cloud-delivered tool that inspects AI traffic and applies security guardrails. The service works through existing FortiGate infrastructure to monitor AI activity and protect sensitive data. It uses FortiAIGate-based controls to evaluate prompts and responses in real time. The service can detect 35 categories of personally identifiable information and supports text, images, audio, video, and code inspection.

Sources

• JPMorgan Says AI Boom Is Driving A ‘Rare’ Profit Cycle — But There’s A Big Risk Investors Should Watch
• Beyond Nvidia And Hyperscalers: Beth Kindig Sees A $1 Trillion AI Infrastructure Opportunity For These Stocks
• Google AI in Classrooms: Senators Ask 9 Questions [2026]
• Anthropic expands text watermarking to older Claude versions beginning November 3
• Ericsson vs Nokia: AI Sales +123% vs 7% Growth [2026]
• AI dubbing to help Japanese companies expand global outreach
• Brazilian lawyers busted for attempting to manipulate court's AI with prompt injection hidden in filing — court's AI flags hidden text that demanded superficial legal scrutiny, lawyers fined $16,000
• Nuclear reactors under construction rise to 79 globally on AI demand
• Deleting AI Chats May Not Erase Every Trace
• Fortinet Introduces FortiGuard Inline AI Security Service to Strengthen AI Threat Protection and Governance