• Recent disclosures from Nvidia highlight just how concentrated its customer base is.

• The company said just two customers represented 24% of its revenue in the first quarter.

• UBS thinks the biggest mystery customer — accounting for 19% of revenue last year — is Microsoft.

Nvidia has a few mystery customers that are making up a massive chunk of its revenue base, according to new disclosures.

In its 10-Q filing made with the SEC earlier this week, Nvidia said a single direct customer represented 13% of its total revenue in the first quarter of its fiscal year 2025, while a second direct customer made up 11% of its total revenue.

On top of that, the AI-chip maker said it had two indirect customers that each represented 10% or more of its total revenue in the first quarter.

The concentration in revenue coming from just a handful of companies comes as mega-cap tech companies rush to stock up on Nvidia’s H100 AI chips to build up their generative AI capabilities.

Meta Platforms, Tesla, and Amazon all made comments on their recent earnings calls about increasing their capital expenditures this year, alluding to the fact that they’re stocking up on Nvidia’s H100 chip and its soon-to-be-released Blackwell chip.

And UBS believes Nvidia’s biggest customer of them all is Microsoft.

In a note earlier this week, UBS analyst Timothy Arcuri connected the dots and said that based on prior disclosures from Nvidia, it believes Microsoft made up 19% of Nvidia’s total revenue in its fiscal year 2024, and that Microsoft still remains its largest customer.

“It stands to reason that one of these could likely again be MSFT,” Arcuri said of Nvidia’s new disclosures about customers that make up more than 10% of its revenue.

Microsoft has been quickly scaling its AI capabilities as it builds up its CoPilot product and continues its partnership with OpenAI.

According to supply chain data estimates from Bloomberg, Arcuri is spot on with Microsoft being Nvidia’s largest customer.

Bloomberg data estimates that Microsoft makes up 15% of Nvidia’s revenue, followed by Meta Platforms at 13% of revenue, Amazon at 6% of revenue, and Alphabet at about 6% of revenue.

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