Nvidia CEO speaks in Dubai

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All three stories today are dedicated to Nvidia. Read further and you’ll see why.

• Nvidia CEO speaks in Dubai

• Nvidia overtakes Amazon in market value

• Nvidia pursues $30 billion custom chip opportunity

Jensen Huang

Nvidia CEO speaks in Dubai

Summary - Jensen Huang, co-founder and CEO of Nvidia, was a key speaker on Monday at the World Governments Summit in Dubai. Huang covered topics including Nvidia’s role in the AI evolution, the shift to accelerated computing, democratizing high-performance computing, sovereign AI, and upskilling for the AI era, among other fascinating topics.

Buoy points [transcript summary]:

01:33 - Transition from general purpose to accelerated computing.
02:21 - Accelerated computing is the future of sustainable, energy-efficient, and cost-effective computing.
04:45 - Advancing computing and AI by 1 million times in the last 10 years.
07:02 - Democratize AI to own and refine your own national intelligence.
09:28 - Building infrastructure is essential for operationalizing AI and digitalizing the economy.
12:05 - Regulating AI for safety and democratization.
14:34 - Democratizing AI through open source systems.
16:52 - NVIDIA's flexible architecture supports various AI models and evolves with the industry.
18:50 - Computing technology to make everyone a programmer.
21:10 - Digital biology will be a field of engineering, impactful for the future.
23:16 - Future engineering will bring positive changes.

Give yourself 23 minutes to watch this insightful interview.

POV - Huang stated that Nvidia will announce the next generation of innovations in six weeks at Nvidia GTC (GPU Technology Conference). What is in store for Nvidia and for the AI revolution?

NVDA > AMZN?

Nvidia overtakes Amazon in market value

Summary - Nvidia Corp (NVDA) briefly zoomed past Amazon in market valuation, marking a significant moment in its astonishing year-long rally, powered by the insatiable demand for its AI computing chips. With Nvidia's market value touching about $1.78 trillion and Amazon's slightly higher, the chipmaker showcased its burgeoning influence in the tech world. This shift underscores the immense investor enthusiasm surrounding Nvidia's pivotal role in the AI revolution. NVDA has been on a monster run in the last year. And, in 2024 alone, it is up from near $475 at the beginning the year, to a closing price of $722.48 on February 12th.

Buoy points:

• By the numbers: Nvidia's market value briefly surpassed Amazon's, reaching approximately $1.78 trillion compared to Amazon's $1.79 trillion.

• AI Demand Surge: The demand for Nvidia's chips has skyrocketed, propelling the company's shares up nearly 50% in the early part of the year.

• Massive Value Addition: Nvidia has added around $600 billion in market value so far this year.

• Comparison with tech Giants: Nvidia momentarily became the fourth most valuable US-listed company, trailing behind Alphabet, Microsoft, and Apple in market cap.

• Nvidia’s Next Quarterly Earnings: The company is set to hold its next quarterly earnings call on February 21st.

POV - Nvidia is a sizeable chunk of my invested funds so I hope the streak continues. Aside from the earnings call coming up, the company also has its GTC conference starting March 18th in San Jose, CA. What are your thoughts? Is Nvidia overbought, or is this just the beginning of another NVDA rally?

Nvidia | Custom Chips

Nvidia pursues $30 billion custom chip opportunity with new unit

Summary - Nvidia is charging into the $30 billion custom chip arena, leveraging its expertise in the intense market demand for specialized accelerated computing chips used in cloud and AI computing. With a stronghold on 80% of the high-end AI chip market, Nvidia's not just resting on its laurels; it's actively expanding its footprint by diving into bespoke chip design. The stakes are high, the competition fierce, but Nvidia's playing to win, promising a tech feast that could redefine the future of AI, automotive, and gaming industries.

Buoy points:

• Nvidia's New Business Venture: Launching a new unit dedicated to designing custom chips, targeting a booming market and diversifying beyond its traditional offerings.

• Dominance in AI Chip Market: Controls about 80% of the high-end AI chip market, with its stock value soaring due to its pivotal role in powering the generative AI sector.

• Custom Chip Market Potential: The data center custom chip market is expected to hit $10 billion this year and double by 2025, indicating a lucrative opportunity Nvidia is keen to exploit.

• Strategic Partnerships and Competition: Nvidia is in talks with companies like Amazon, Google, and Microsoft for custom chips, stepping into a realm traditionally dominated by Broadcom and Marvell, intensifying competition.

• Expansion Beyond AI: Beyond AI and data centers, Nvidia eyes the telecom, automotive, and gaming sectors for its custom chips, signaling a strategic diversification of its portfolio.

POV - An incredibly accomplished CEO with his very capable company jumping into new areas of revenue growth. This will be exciting to watch for several years to come. Will they succeed?

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