SLB and Nvidia deepen AI partnership, transforming oil services with software-driven growth.

SLB CEO Olivier Le Peuch highlighted the company's two-decade partnership with Nvidia, emphasizing how AI is reshaping oilfield services into a software-like business. SLB's digital segment, though only 7% of revenue, shows strong growth with higher margins and recurring revenue, driven by AI-powered platforms and autonomous drilling technology. The collaboration includes Nvidia's AI factories, aiming to industrialize AI at scale in energy, making SLB less dependent on oil price cycles. Investors should watch for continued digital revenue growth as a new earnings driver, decoupled from crude price fluctuations.