Nvidia chief presses Germany to embrace AI

Nvidia (NVDA) CEO Jensen Huang urged German manufacturers to move quickly to adopt artificial intelligence in order to “re-engineer” the country’s business model. Speaking at the Invest in Germany Summit in Berlin on October 19, 2026, he argued that Germany should leverage its large store of manufacturing data and engineering expertise to strengthen its industrial base through AI.

Huang stressed that Germany’s manufacturing data and know-how “is your natural resource, it belongs to the nation,” and said industry needs to make better use of it. He described the current phase as an industrial revolution and warned that it is “so mighty, so powerful” that manufacturers may not get “another chance” to adapt.

Huang framed the “next wave of AI” as physical, pointing to applications in areas such as robotics, automotive production and broader manufacturing processes. He contrasted electrons and atoms to underline that digital technology would not eliminate the need for heavy industry and physical production.

He insisted that AI will not supplant German industrial capabilities but instead enhance them, saying “AI can only augment your capability. It will not replace your capability,” and adding that “electrons will never replace atoms.” His comments positioned AI as a tool to boost productivity rather than a threat to factories or engineering jobs.

Huang appeared alongside Chancellor Friedrich Merz, and both highlighted AI as a significant opportunity for Germany’s Mittelstand, the network of small and medium-sized specialised industrial companies. They presented AI as a way for these firms to modernise operations and make better use of production data.

The appeal comes as Merz works to revive growth after a period of near-stagnation in the German economy. Key challenges include high energy prices following the loss of cheap Russian natural gas, intensifying competition from China in sectors such as autos, and regulatory hurdles and permissions that can delay projects for years.

Within this environment, the call to adopt AI more aggressively is framed as a strategic response to preserve and enhance Germany’s industrial competitiveness. By treating data as a core asset and integrating AI into production, policymakers and industry leaders are being urged to support a new phase of industrial development rooted in existing strengths.