Thanks, Simona. We had an excellent quarter and fiscal 2018 led by strong growth in our Gaming and Data Center businesses. Q4 revenue reached $2.91 billion, up 34% year-on-year, up 10% sequentially and well above our outlook of $2.65 billion. All measures of profitability set records. They also hit important milestones. For the first time, gross margins strongly exceeded 60%, non-GAAP operating margins exceeded 40% and net income exceeded $1 billion.
Fiscal 2018 revenue was $9.71 billion, up 41% or $2.8 billion above the previous year. These short platforms posted record full year revenue with data center growing triple digit. From a reporting segment perspective, Q4 GPU revenue grew 33% from last year to 2.46 billion. Tegra Processor revenue rose 75% to $450 million.
Let's start with our Gaming business. Q4 revenue was $1.74 billion, up 29% year-on-year and up 11% sequentially with growth across all regions, driving GPU demand for a number of great titles during the holiday season, including Players Battleground, PUBG, Destiny 2, Call of Duty, World War II, Star Wars: Battlefront 2. PUBG continued its remarkable run reaching almost 30 million players and recording more than 3 million concurrent players. These games delivered stunning, visible effects that requires strong graphics performance, which is driven a shift toward the higher end of our gaming portfolio and adoption of our Pascal architecture. eSports continues to grow, expanding the overall industry and our business. And one sign of their popularity Activision Overwatch League launched in January and reached 10 million viewers globally in its first week. We had a busy start to the year with a number of announcements at the Annual Consumer Electronics Show in Las Vegas. We introduced NVIDIA BFGDs, Big Format Gaming Displays in a partnership with ACER, ASUS and HP. The high-end 65-inch 4K displays enable ultralow latency gaming and interrogate our shield streaming devices, offering popular apps such Netflix, Gaming Video, YouTube and Hulu, the BFGD 19 best of show awards from various publications. We expanded the free beta of GeForce now beyond Macs to Window based PCs and we enhanced GeForce's experience with new features, including NVIDIA Freestyle for customizing gameplay with various filters and updated NVIDIA Ansel photo mode and support for new titles with ShadowPlay Highlights for capturing gaming achievements. Additionally, the Nintendo Switch gaming console contributed to our growth, as it became the fastest selling console of all time in the U.S. Strong demand in the cryptocurrency market exceeded our expectations. We met some of this demand with a dedicated board in our OEM business and some was not with our gaming GPUs. This contributed to lower than historical channel inventory levels of our gaming GPUs throughout the quarter. While the overall contribution of cryptocurrency to our business remains difficult to quantify, we believe it was a higher percentage of revenue than the prior quarter. That said, our main focus remains on our core gaming market, as cryptocurrency trends will likely remain volatile. Moving to data center, revenue of $606 million was up 105% year-on-year and up 20% sequentially.
This excellent performance reflected strong adoption of Tesla V100 GPUs based on our Volta architecture, which began shipping in Q2 and continued to ramp in Q3 and Q4. V100 are available through every major computer maker and have been chosen by every major cloud provider to deliver AI and high performance computing. Hyperscale and cloud customers adopting the V100 include Alibaba, Amazon Web Services, Baidu, Google, IBM, Microsoft Azure, Oracle and Samsung. We continued our leadership in AI training markets where our GPUs remain the platform of choice for training, learning networks. During the quarter, Japan's preferred networks trends ResNet-503 network for image classification in a record of 15 minute by using 1,024 Tesla P100 GPUs. Our newer generation V100 delivered even higher performance with the Volta architecture offering 10 times the deep learning performance of Pascal. We also saw a growing traction in the AI inference market where NVIDIA's platform can improve performance and efficiency by orders of magnitude over CPUs. We continue to view AI inference as a significant new opportunity for our data center GPUs. Hyperscale inference applications that runs on GPUs includes speech recognition, image and video analytics, recommender system, translations, search and a natural language processing. The data center business also benefited from strong growth and high performance computing. The HPC community has increasingly moved to accelerated computing in recent years as Moore's law has begun to level off indeed more than 500 HPC applications are now GPU accelerated including all of the top 15. NVIDIA added a record 34 new GPU accelerated system to the latest top 500 supercomputer lift, bringing our total to 87 systems. We increased our total petaflops of list by 28% and we captured 14 of the top 20 slots on the Green500 list of the world's most energy efficient supercomputers. During the quarter, we continue to support the build out of major next generation supercomputers among them that the U.S. Department of Energy's Summit System expected to be the world's most powerful supercomputer when it comes online later this year. We also announced new wins such as Japan's fastest AI supercomputer, the ABCI system, which leverages more than 4,000 Tesla V100 GPUs. Importantly, we are starting to see the conversions of HPC and AI as scientists embrace AI to solve problems faster. Modern supercomputers will need to support multiprocessing computation for applying deep learning together with simulation and testing. By combining AI with HPC, supercomputers can deliver increased performance that is orders of magnitude greater in computations ranging from particle physics to drug discovery to astrophysics. We are also seeing traction for AI in a growing number of vertical industries such as transportation, energy, manufacturing, smart cities, and healthcare. We announced engagements with GE Health and Nuance in medical imaging, Baker Hughes, a GE company in oil and gas and Japan Komatsu in construction and mining.
Moving to professional visualization, fourth quarter revenue grew to a record 254 million, up 13% from a year ago, up 6% sequentially, driven by demand for real-time rendering as well as emerging applications like AI and VR. These emerging applications now represent approximately 30% of pro visualization sales. We saw strength across several key industries including defense, manufacturing, energy, healthcare and internet service providers among key customers high end quality products are being used by GlaxoSmithKline for AI and by Pemex oil and gas for seismic processing and visualization.
Turning to automotive. In automotive for fourth quarter, revenue grew 3% on year to 132 million and was down 8% sequentially. The sequential decline reflects our condition from infotainment which is becoming commoditized to next generation AI cockpits systems and complete top to bottom self-driving vehicle platforms built on NVIDIA hardware and software.
At CES, we demonstrated our leadership position in autonomous vehicles with several key milestones and new partnership that point to AI self-driving cars, moving from deployment to production. In a scanning room only key note that drew nearly 8,000 attendees, Jensen announced that DRIVE Xavier the world's first autonomous machine processor will be available to customers this quarter with more than 9 billion transistors DRIVE Xavier is the most complex system on ever created. We also announced in NVIDIA Drive is the world's first functionally saved AI self-driving platform, enabling automakers to create autonomous vehicles they can operate safely and necessary ingredient for going to market. Additionally, we announced a number of collaboration of CES including with Uber, which has been using in video technology for the AI continuing system and its fleet of self-driving cars and freight trucks. We announced that ZF and Baidu are using NVIDIA Drive self-driving technology to create a production ready AI autonomous vehicle platform for China, the world's largest automotive market. Production vehicles utilizing this technology including those from chariots expected on the road by 2020. We also announced partnership with Aurora which is working to create a modular scalable Level 4 and Level 5 self-driving hardware platform incorporating the NVIDIA Drive Xavier processor. Jen-Hsun Huang joined on stage by Volkswagen CEO, Herbert Diess, they announced the new generation of intelligently VW vehicles for using NVIDIA Drive intelligent experience or drive IX, platform to create the new AI infused cockpit experiences and improved safety. Later CES, Mercedes-Benz announced that MBUX its new AI based smart cockpit uses NVIDIA graphics in the AI technologies. The MBUX user experience which includes beautiful touch screen displays and a new voice activated assistant, they viewed it last week at Mercedes-Benz A-Class compact car and we will shift this frame. And earlier this week, we announced a partnership with Continental to build AI self-driving vehicle systems from enhanced Level 2 to Level 5 for production in 2021. There are now more than 320 companies and research institutions using the NVIDIA Drive platform that's up 50% from a year ago and encompasses virtually every car marker, truck maker, robo-taxi company, mapping company, center manufacture and self starter in the autonomous vehicle ecosystem. With this growing momentum, we remain excited about the inter-meet to long-term opportunities for autonomous driving.
Now turning to the rest of the P&L. Q4 GAAP gross margins was 61.9% and non-GAAP was 62.1%, record that reflect continued growth in our value-added platforms. GAAP operating expenses were $728 million and non-GAAP operating expenses were $607 million up 28% and 22% year-over-year respectively. We continue to invest in the key platforms driving our long-term growth including Gaming, AI and automotive. GAAP EPS was $1.78, up 80% from a year earlier, some of the upside was driven by a lower than expected tax rate, as a result of U.S. tax reform and excess tax benefits related to stock based compensation. Our fourth quarter GAAP effective tax rate was a benefit of 3.7% compared with our expectation of a tax rate of 17.5%. Non-GAAP EPS was a $1.72, up 52% from a year ago, reflecting a quarterly tax rate of 10.5% compared with our expectation of 17.5%.
We returned $1.25 billion to shareholders in the fiscal year through a combination of quarterly dividends and share repurchases. Our quarterly cash from operations reached record levels at $1.36 billion, bringing our fiscal year total to a record $3.5 billion. Capital expenditures were $469 million for the four quarter, inclusive of $335 million associated with the purchase of our previously financed Santa Clara campus building. Let me take a moment to provide a bit more detail on the impact of U.S. corporate tax reform on the quarter and our go forward financials.
In Q4, we reported a GAAP only one-time net tax benefit of $133 million or $0.21 per diluted share. This is primarily related to provisional tax amounts for the transition tax on accumulated foreign earnings and re-measurement of certain deferred tax assets and liabilities associated with Tax Cuts and Jobs Act. We previously accrued for taxes on a portion of foreign earnings in excess of the provisional tax amount recorded for the transition tax hence the one-time benefit. For fiscal 2019, we expect our GAAP and non-GAAP tax rates to be around 12% which is down from approximately 17% previously. This does not take into effect the excess tax benefit from stock based compensation, which depending stock price investing schedule could increase or decrease our tax rate in GAAP in a given quarter.
In terms of our capital allocation priorities, we continue to focus first and foremost on investing in our business as we see significant opportunities ahead. Our lower tax rate strengthens our ability to invest in both OpEx such as adding engineering talent as well as CapEx such as investing in supercomputers for internal AI development. In addition, we remain committed to returning cash to shareholders, with our plan remaining at $1.25 billion for fiscal 2019. With that, let me turn to the outlook for the first quarter of fiscal 2019. We expect revenue to be $2.9 billion plus or minus 2%.
GAAP and non-GAAP gross margins are expected to be 62.7% and 63% respectively plus or minus 50 basis points. GAAP and non-GAAP operating expenses are expected to be approximately $770 million and $645 million respectively. GAAP and non-GAAP OI&Es are both expected to be nominal. GAAP and non-GAAP tax rates are both expected to be 12% plus or minus 1% excluding discrete items. For the full fiscal year 2019, we expect our operating expenses to grow at a similar pace as in Q1. Further financial details are included in the CFO commentary and other information available on our IR website.
In closing, I like to highlight a few upcoming events for the financial community will be presenting at the Goldman Sachs Technology and Internet Conference on February 13th and at the Morgan Stanley Technology, Media and Telecom Conference on February 26th. We will also be hosting our Annual Investor Day on March 27th in Sam Hose on the sidelines of our annual GPU Technology Conference, which we are very excited about. We will now open the call for questions. Operator, will you pole for questions please.