Thanks, Arnab.
Revenue reached a record in the third quarter, exceeding $2 billion for the first time. Driving this was success in our Pascal-based gaming platform and growth in our datacenter platform, reflecting the role of NVIDIA's GPU as the engine of AI computing. Q3 revenue increased 54% from a year earlier to $2 billion and was up 40% from the previous quarter. Strong year-over-year gains were achieved across all four of our platforms: gaming, professional visualization, datacenter and automotive. The GPU business was up 53% to $1.7 billion and the Tegra processor business increased 87% to $241 million.
Let's start with our gaming platform. Gaming revenue crossed the $1 billion mark and increased 63% year-on-year to a record $1.24 billion, fueled by our Pascal-based GPUs. Demand was strong in every geographic region across desktop and notebook, and across the full gaming audience, from GTX 1050 to the TITAN X. GeForce gaming PC notebooks recorded significant gains. Our continued growth in the GTX gaming GPUs reflects the unprecedented performance and efficiency gains in the Pascal architecture. It delivers seamless play on games and richly immersive VR experiences. In Q3, for desktops, we launched the GTX 1050 and the 1050 Ti, bringing eSports and VR capabilities at great value. For notebooks, we introduced GTX 1080, 1070 and 1060, giving gamers a major leap forward in performance and efficiency in a mobile experience. The fundamentals of the gaming market remain strong. The production value of blockbuster games continues to increase. Gamers are upgrading to higher-end GPUs to enjoy highly anticipated fall titles like Battlefield 1, Gears of War 3, Call of Duty: Infinite Warfare, and eSports is attracting a new generation of gamers to the PC. League of Legends is played by over 100 million gamers each month and there is now a Twitch audience of more than 300 million who follow eSports. VR and AR will redefine entertainment and gaming. A great experience requires a high performance GPU, and we believe we're still in the early innings of these evolving markets. Pascal represents not only the biggest innovation gains we've made in a single GPU generation in a decade; it's also our best executed product rollout.
Moving to professional visualizations, Quadro revenue grew 9% from a year ago to $207 million, driven by growth in the high-end of the market for real-time rendering and mobile workstations. We are seeing strong customer interest in the Pascal-based P6000 among digital entertainment leaders like Pixar, Disney and ILM, architectural, engineering and construction companies like Japan's Shimizu, and automotive companies like Hyundai. Next: datacenter. Revenue nearly tripled from a year ago and was up 59% sequentially to $240 million. Growth was strong across all fronts in AI and supercomputing for hyperscale, as well as for GRID, virtualization and supercomputing. GPU deep learning is revolutionizing AI, and is poised to impact every industry worldwide. Hyperscale companies like Facebook, Microsoft and Baidu are using it to solve problems for their billions of consumers. Cloud GPU computing has shown explosive growth. Amazon Web Services, Microsoft Azure and AliCloud are deploying NVIDIA GPUs for AI, data analytics and HPC. AWS has recently announced its new EC2 P2 instance, which scales up to 16 GPUs to accelerate a wide range of AI applications, including image and video recognition, unstructured data analytics and video transcoding. We saw strong growth in AI training. For AI inference, we announced the Tesla P4 and P40 to serve power efficient and high performance workloads respectively. Shipments began in Q3 for the DGX-1 AI supercomputer. Early users include major universities like Stanford, UC Berkeley and NYU, leading research groups such as OpenAI, the German Institute of Artificial Intelligence, and the Swiss Artificial Intelligence Lab, as well as multinationals like SAP. So far this year, our GPU technology conference program has reached 18,000 developers and ecosystem partners, underscoring the broad enthusiasm for AI. Complementing our major spring event in Silicon Valley, we have organized GTCs in seven cities on four continents. They drew sellout audiences in Beijing, Taipei, Tokyo and Seoul, as well as Amsterdam, Melbourne and Washington D.C., with Mumbai still to come. Along with 400 sessions and labs, we provided training in AI skills to nearly 2,000 individuals through our Deep Learning Institute instruction program. We also have begun partnering with key global companies to enable the adoption of AI. To implement AI in manufacturing, we announced a collaborative with Japan's FANUC, focused on robots and automated factories. And in the transportation sector, more than 80 OEMs, Tier 1s and startups are using our GPUs for their work on self-driving cars. Our GRID graphics virtualization business continues to achieve extremely strong growth. Adoption is accelerating across a variety of industries, particularly manufacturing, automotive, engineering and education. Among customers added this quarter were Johns Hopkins University and GE Global India. And finally, in automotive, revenue increased to a record $127 million, up 61% year-over-year and up 7% sequentially from premium infotainment products.
NVIDIA is developing an end-to-end AI computing platform for autonomous driving. This allows carmakers to collect and label data, train their own deep neural networks on the video GPUs in the datacenter, and then process them in the car with DRIVE PX 2. We have also been developing a cloud-to-car HD mapping system with mapping companies all over the world. Two such partnerships were announced this quarter. We're working with Baidu to create a cloud-to-car development platform with HD maps, Level 3 autonomous vehicles and automated parking. We're also partnering with TomTom to develop a AI-based cloud-to-car mapping system that enables real-time in-car localization and mapping.
We've developed an integrated, scalable AI platform with capabilities ranging from automated highway driving to fully autonomous driving operation. We are extending the DRIVE PX 2 architecture to scale in performance and power consumption. It will range from DRIVE PX 2 AutoCruise with a single SoC for self-driving on highways, up to multiple DRIVE PX 2 computers capable of enabling fully autonomous driving. We also announced a single-chip AI supercomputer called Xavier with over 7 billion transistors. Xavier incorporates our next GPU architecture, a custom CPU design, and a new computer vision accelerator. Xavier will deliver performance equivalent to today's full DRIVE PX 2 board and its two Parker SoCs and two Pascal GPUs, while only consuming a fraction of the energy. Finally, Tesla Motors announced last month that all its factory produced vehicles, the Model S, the Model X and upcoming Model 3, feature a new AutoPilot system powered by the NVIDIA DRIVE PX 2 platform and will be capable of fully autonomous operation via future software updates. This system delivers over 40 times the processing power of the previous technology and runs a new neural network for vision, sonar and data processing. Beyond our four platforms, our OEM and IP business was $186 million, down 4% year-on-year.
Now, turning to the rest of the income statement. GAAP gross margin for Q3 was a record 59% and non-GAAP gross margin was a record 59.2%. These reflect the strength of our GeForce gaming GPUs, the success for our platform approach and strong demand for deep learning. GAAP operating expenses were $544 million, including $66 million in stock-based compensation and other charges. Non-GAAP operating expenses were $478 million, up 11% from a year earlier.
This reflects head count-related costs for our growth initiatives as well as investments in sales and marketing. We intend to continue to invest in deep learning to capture this once in a lifetime opportunity. Thus, we would expect the operating expense growth rate to be sustained over the next several quarters.
GAAP operating income was $639 million. Non-GAAP operating income more than doubled to $708 million. Non-GAAP operating margins were over 35% this quarter.
For fiscal year 2018, we intend to return $1.25 billion to shareholders through ongoing quarterly cash dividends and share repurchases. We also announced a 22% increase in our quarterly cash dividend to $0.14 per share. Now, turning to the outlook for the fourth quarter of fiscal 2017, we expect revenue to be $2.1 billion, plus or minus 2%.
Our GAAP and non-GAAP gross margin are expected to be 59% and 59.2%, respectively, plus or minus 50 basis points. GAAP operating expenses are expected to be $572 million. Non-GAAP operating expenses are expected to be approximately $500 million. And GAAP and non-GAAP tax rates for the fourth quarter of fiscal 2017 are both expected to be 20%, plus or minus 1%. With that, operator, I'm going turn it back to you and see if we can take some questions.