At the World Economic Forum in Davos, Nvidia (NVDA) CEO Jensen Huang said Europe has a rare, “once‑in‑a‑generation” opportunity to lead in robotics.
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Huang said Europe’s long history in industrial manufacturing could become a major strength in the new robotics era. By pairing its engineering and production skills with modern AI, Europe can skip the software-focused phase and move straight into what he calls “physical AI,” or AI that powers real-world machines and automation.
He noted that major European companies such as Siemens (SIEGY), Mercedes-Benz (MBGAF), Volvo (VLVLY), and Schaeffler are already investing heavily in robotics and AI-driven manufacturing.
Global Race Toward Robotics
Huang also noted that U.S. tech giants are investing significant resources in robotics. Tesla’s (TSLA) Elon Musk has said that 80% of the company’s future value could come from its Optimus humanoid robots. Also, Google’s (GOOGL) DeepMind has released advanced AI models for robotics, and Nvidia itself is partnering with Alphabet to accelerate the development of “physical AI.”
Huang argued that this global momentum makes it even more urgent for Europe to act quickly.
Energy Constraints Could Slow Europe’s Robotics Ambitions
Despite the opportunity, Huang warned that Europe faces two big challenges: high energy costs and limited power supply. Without a stronger energy system, he said, Europe will have a hard time building the AI infrastructure needed to support large-scale robotics.
He urged policymakers to “get serious” about boosting energy capacity so the region can support data centers, AI factories, and the wider ecosystem needed for robotics innovation.
Is Nvidia a Good Stock to Buy Now?
Overall, Wall Street has a Strong Buy consensus rating on Nvidia stock based on 39 Buys, one Hold, and one Sell recommendation. The average NVDA stock price target of $263.44 indicates 43.7% upside potential.
