JH

Jensen Huang

06/24/11

@ Stanford Online

Building a company is extraordinarily gratifying, but it is also incredibly hard.

JH

Jensen Huang

06/24/11

@ Stanford Online

Vision matters, but I prefer the term 'perspective' because it allows everyone to have one.

JH

Jensen Huang

06/24/11

@ Stanford Online

In 1993, we believed that the PC would evolve to run 3D graphics programs, allowing users to explore new worlds and play games.

JH

Jensen Huang

06/24/11

@ Stanford Online

Our business plan was to take expensive technology from workstations and make it inexpensive for consumers, with video games as the killer app.

JH

Jensen Huang

06/24/11

@ Stanford Online

Despite skepticism from investors about the video game market, we believed it would be a significant industry due to our experiences as part of the video game generation.

JH

Jensen Huang

06/24/11

@ Stanford Online

The perspective we had about the video game market was unique at the time, and it has proven to be true as video games are now the largest digital media industry.

JH

Jensen Huang

06/24/11

@ Stanford Online

When starting Nvidia, we had to convince venture capitalists of the potential market size for our technology, which was initially perceived as zero.

JH

Jensen Huang

06/24/11

@ Stanford Online

Understanding the essence of your business is crucial for survival, especially in a fast-moving technology industry.

JH

Jensen Huang

06/24/11

@ Stanford Online

Moor's Law indicates that semiconductor technology improves by a factor of two every year, which is essential for our business model.

JH

Jensen Huang

06/24/11

@ Stanford Online

For the first five years, we ignored customer feedback to focus on making our graphics processors better, believing that 3D graphics were insatiable.

JH

Jensen Huang

06/24/11

@ Stanford Online

Innovation can be dangerous; while it can lead to great ideas, it can also risk the company's survival during transitions.

JH

Jensen Huang

06/24/11

@ Stanford Online

We decided to make our graphics processors programmable to allow for artistic expression, which transformed the industry.

JH

Jensen Huang

06/24/11

@ Stanford Online

The transition to programmable shaders was risky and nearly broke the company, but it ultimately led to significant advancements in gaming technology.

JH

Jensen Huang

06/24/11

@ Stanford Online

To remain a market leader, you must be willing to cannibalize your own products before competitors do.

JH

Jensen Huang

06/24/11

@ Stanford Online

Our first programmable chip, GeForce effects, was a gamble that almost led to our downfall, but it was necessary for our survival.

JH

Jensen Huang

06/24/11

@ Stanford Online

The invention of CG (C for Graphics) programming paradigm opened new avenues for using GPUs beyond gaming, leading to breakthroughs in general-purpose computing.

JH

Jensen Huang

06/24/11

@ Stanford Online

The economics of building anything ultimately comes down to the amount of competition you have; you don't set the price, the competition does.

JH

Jensen Huang

06/24/11

@ Stanford Online

As a manager, your function is to allocate resources properly for the best return, considering both your resources and the market demand.

JH

Jensen Huang

06/24/11

@ Stanford Online

You need to cultivate a culture of risk-taking to encourage innovation within your company.

JH

Jensen Huang

06/24/11

@ Stanford Online

To succeed, you must develop a tolerance for failure and learn to fail quickly and inexpensively, adjusting your approach as needed.

JH

Jensen Huang

06/24/11

@ Stanford Online

Innovation requires experimentation, which inherently involves failure; without a tolerance for failure, you would never innovate.

JH

Jensen Huang

06/24/11

@ Stanford Online

The biggest challenge in building a company is the need for reinvention; every successful thing needs to be torn down and rebuilt at some point.

JH

Jensen Huang

06/24/11

@ Stanford Online

In the early days of a startup, survival is crucial; as CEO, you're either making money, saving money, or raising money.

JH

Jensen Huang

06/24/11

@ Stanford Online

You should start a company because you believe in your idea and are passionate about it, not just for the money.

Jen-Hsun Huang: Stanford student and Entrepreneur, co-founder and CEO of NVIDIA

Takeaways