Nvidia delivered a surprisingly strong revenue forecast and pushed back on the idea that the artificial intelligence industry is in a bubble, easing concerns that had spread across the tech sector.

Sales will be about $65 billion in the January quarter, the chipmaker said in a statement on Wednesday. Analysts had estimated $62 billion on average, according to data compiled by Bloomberg.

The outlook signals that demand remains robust for Nvidia¡¯s artificial intelligence accelerators, the pricey and powerful chips used to develop AI models. Nvidia has faced growing fears that the runaway spending on such equipment isn¡¯t sustainable.