Justin Gerrard’s Post

"So getting back to NVIDIA, I don’t see any force stopping the juggernaut in the next few years, other than a huge decline in the need for AI compute, and that seems unlikely. Any startup competitor could easily be acquired by NVIDIA for tens of billions of dollars and it would barely be material given NVIDIAs market cap. And while the other major chip companies are mounting a challenge, particularly AMD, the demand for GPUs is so great, and will be for the next few years, there is room for massive growth for multiple players. When NVIDIA eventually slows down, I suspect it will come from one of two areas. The first is a surprising shift in market use cases. Given the long development cycles of computer chips, it’s hard to be as responsive to the market demands as software companies can be. And product designers have to choose some level of predictability and reliability in their components and their partners, which is why they favor proven tech over innovative new designs most of the time. But the way NVIDIA benefited because their chips for graphics cards happened to be a good match for new AI workloads - I think something similar could happen to slow them down. Some new popular AI workload will be a better fit for something other than a GPU, but a chip that is already established in the market in other ways. Or secondly, it comes from a company that is building their own chips and decides to get into the broader semiconductor business. This means Apple, Amazon, Facebook, or most likely - Google. But all those companies, even if they can compete technically with NVIDIA, lack the infrastructure to sell and support chips and those who develop them. Building those capabilities will be slow." https://lnkd.in/dFpj5hqv

NVIDIA's remarkable surge in stock market value, adding a staggering $277 billion in a single day, underscores the company's pivotal role in shaping the future of technology. Renowned for its cutting-edge graphics processing units (GPUs), NVIDIA's dominance in GPU semiconductor chips, boasting around 80% market share, is a testament to over 25 years of relentless innovation. Notably, NVIDIA's pivotal role in AI hardware and software, exemplified by its collaboration with OpenAI's ChatGPT chatbot powered by 10,000 NVIDIA GPUs, has propelled the company to new heights. The company's recent financial performance reflects its unwavering momentum, with fourth-quarter revenue reaching $22.1 billion, marking a remarkable 265% increase from the previous year. Looking ahead, NVIDIA remains bullish about its future prospects, anticipating a revenue of $24 billion in the first quarter of fiscal year 2025. However, challenges loom on the horizon, including supply chain constraints and geopolitical tensions impacting AI demand. Despite these uncertainties, NVIDIA's track record of innovation and resilience positions it strongly to navigate challenges and continue driving transformative advancements in AI and technology. I am surprised to see the tremendous growth in the company but this is an era of technology and it is going to change the way world operates.

On Tuesday, NVIDIA leapfrogged two of tech’s most storied names to become the world’s most valuable public company, according to data from S&P Global. Its ascent has been powered by the boom in #generative #artificial #intelligence and surging demand for the company’s chips — known as graphics processing units, or GPUs — which have made it possible to create #AI systems. Nvidia’s rise is among the fastest in market history. Just two years ago, the company’s market valuation was a little over $400 billion. Now, in the span of a year, it has gone from $1 trillion to more than $3 trillion. On Tuesday, Nvidia’s share price rose 3.6 percent, lifting its value to $3.34 trillion. #Microsoft and #Apple both fell, ending the day trailing the Silicon Valley chip maker. Nvidia’s ascent is a testament to how much artificial intelligence has upended the world’s biggest companies. The rise of the powerful technology first elevated #Microsoft to the biggest market capitalization in January, dethroning #Apple, before pushing #Nvidia to take the crown. Last week, #Apple said it, too, was getting into the #AI game and will add the technology to its products, including the #iPhone, this fall. Years before other big chip companies, Nvidia’s chief executive, Jensen Huang, bet that GPUs would be essential to building artificial intelligence, and he tailored his company to accommodate what he believed would be tech’s next big boom. His big bet is paying off. By some measurements, #Nvidia controls more than 80 percent of the market for the chips used in #AI systems. #AI is indeed a game changer for many businesses particularly those in the tech space. https://lnkd.in/dArqpQ4P

The story of Nvidia's rise to dominance in the AI chip industry is a fascinating one. From its humble beginnings in a Silicon Valley diner to becoming a global leader in AI semiconductors, Nvidia's journey is a testament to innovation and strategic planning. It’s remarkable how Nvidia identified the potential of graphics processing units (GPUs) for parallel processing and reimagined them for AI applications, creating a programming model that has become the industry standard. Nvidia's success is not limited to its technology; its leadership, particularly CEO Jensen Huang, has been instrumental in driving the company's vision. The article highlights how Nvidia's chips are becoming increasingly important for everyday life, from powering generative AI models like ChatGPT to enabling cloud services. As AI continues to transform industries, Nvidia's position as a leader in AI semiconductors will be crucial in shaping the future of technology. The article also underscores the significance of Nvidia's presence in Singapore, with the country contributing significantly to Nvidia's revenue. As AI adoption grows, it will be interesting to see how Nvidia continues to innovate and maintain its competitive edge. Overall, Nvidia's story serves as a reminder of the importance of innovation, strategic planning, and leadership in achieving success. https://lnkd.in/gkrD3rc2

NVIDIA has become the most valuable public company in the world at $3.34 trillion! The AI chipmaker’s stock is up 181.7% this year, driven by the rise in demand for its Hopper chips used in gen AI models. This led to Nvidia surpassing Microsoft, $3.32 trillion, and Apple, $3.29 trillion, in market cap. Beating Wall Street’s expectations, Nvidia reported Q1 2024 revenue at $26 billion for fiscal year 2025, a 262% increase from the previous year. NVIDIA, known in the gaming community for its graphics chips, accounts for 80% of the AI chips used in data centers. In March, Nvidia revealed Blackwell, which is said to power a new era of computing and will start shipping in Q2 of 2024 and be with customers in Q4. What else does Nvidia have in store for the AI space this year? https://lnkd.in/dMWNjGhA #AIHWEdgeAISummit #AI #EdgeAI #Innovation #AIHardware  

I have followed NVIDIA ever since I built my first computer and bought my first graphics card ~14 years ago (GTX 460 1GB, killer at the time). The only other people that I knew who knew about them were people who were interested in computing. On Monday, NVIDIA briefly surpassed Apple to become the world's most valuable publicly traded company. NVIDIA's stock nearly tripled in 2024 (850%), and on Monday, with a market cap of $3.43 trillion (it doesn't seem so long ago that we saw the first 'trillion dollar company'), they edged out Apple's $3.38 trillion to take the top spot. It has also been announced that they will replace Intel in the Dow Jones Industrial Average in just a few days time. This remarkable achievement is mostly driven by the soaring global demand for AI technologies and infrastructure (enabling OpenAI's ChatGPT for instance) coupled with NVIDIA's incredibly dominant position in the GPU market. Competitors are literally pivoting their business models in response. Kudos to Jensen Huang and the whole NVIDIA team for this incredible accomplishment and their continued commitment to innovation at speed and at scale. It has been a pleasure to watch the company grow into the industry leader that it is today, and I'm truly excited to see what the future holds. #Nvidia #AI #TechNews #Innovation #ArtificialIntelligence

📊#Nvidia H100: This Is the #Chip Behind #AI’s Supersonic Stock Rally 👇🏻 📌“Computer #components are not usually expected to #transform entire businesses and industries, but a graphics processing unit Nvidia Corp. released in 2023 has done just that. The #H100 data center chip has added more than $1 trillion to Nvidia’s value and turned the company into an AI kingmaker overnight. It’s shown #investors that the buzz around #GenAI is translating into real revenue, at least for Nvidia”. 📈“Nvidia says the H100 is four times faster than the chip’s predecessor, the A100, at training these so-called large language models, or #LLMs, and is 30 times faster replying to user prompts. For companies racing to train LLMs to perform new tasks, that performance edge can be critical”. 💰“Nvidia controls about 80% of the market for accelerators in the AI data centers operated by Amazon.com Inc.’s #AWS, Alphabet Inc.’s #GoogleCloud and Microsoft Corp.’s #Azure. Those companies’ in-house efforts to build their own chips, and rival products from chipmakers such as Advanced Micro Devices Inc. and Intel Corp., haven’t made much of an impression on the AI accelerator market so far”. 💡“Nvidia’s advantage isn’t just in the performance of its #hardware. The company invented something called #CUDA, a language for its graphics chips that allows them to be programmed for the type of work that underpins AI programs”. 🚀“Later this year, the H100 will pass the torch to a successor, the #H200, before Nvidia makes more substantial changes to the design with a #B100 model further down the road”. https://lnkd.in/dnimMH9W

With demand for his company’s AI chips soaring and supply limited, Nvidia CEO Jensen Huang was forced to deliver an unusual message Wednesday. “We allocate fairly. We do the best we can to allocate fairly, and to avoid allocating unnecessarily,” Huang said in response to a question during Nvidia’s fourth quarter earnings call. The Nvidia boss was referring to how the company decides who gets first dibs on its graphics processors, or GPUs, the hardware that powers the artificial intelligence boom. Tech giants like Meta, Microsoft, Amazon, and Alphabet can’t get enough of Nvidia’s GPUs as they race to build datacenters that make popular generative AI services like ChatGPT, Runway AI and Gemini a reality. And that’s just one group of customers. #In economic theory, if demand surge beyond supply, then the price will rise/jump. That's what exactly what happened in Nvidia stock prices last Thursday when it reported eye-popping results and outlook guidance!

Do you know the name of the company that has joined the exclusive market value that only Microsoft and Apple have achieved? NVIDIA has officially achieved the status of a 2 trillion-dollar company. But did you know the journey behind this milestone? Here's the story: - Nvidia first surfaced in 1993 as a relatively unknown fabless semiconductor firm. Their initial focus was on designing graphics accelerator chips for PCs. - Over the decades, they moved beyond video games. Today, Nvidia powers enterprise AI models, the industrial metaverse, and self-driving cars. - This transformation was fueled by continuous innovation and seizing opportunities at the right time. Let's take a closer look at Nvidia's journey: - In the early years, Nvidia focused on improving the gaming experience. - Their major breakthrough materialized when they leveraged the parallel processing capabilities of their chips. These chips could solve problems with a similar matrix arithmetic structure to 3D-graphics modelling. - Among their various initiatives, Nvidia ventured into:   - Creating the first Nvidia GeForce graphic cards,   - Introducing a new GPU architecture, CUDA, in 2006,   - Pioneering the use of GPUs as general-purpose processors in 2009. Then, a paradigm shift happened. - The rise of artificial intelligence and the need for repetitive calculations to train machine learning models initiated a new demand surge for Nvidia’s chips.  - Recognizing the potential, Nvidia grasped this opportunity. What was their game plan? - To continually innovate their hardware, - Venture into the service business, - Develop software to assist businesses and enterprises. As you can guess, their strategies paid off. - By late August, Nvidia's stock market valuation soared to over a trillion dollars.  - This was propelled by record sales of data center products exceeding $10 billion, and strong demand from tech giants like AWS, Google, and Microsoft. The rest, as they say, is history. This story is not just about market dominance. It's about positioning oneself to seize opportunities, or as some might say, make their own luck. A great reminder for anyone with big dreams. What's your key takeaway from Nvidia's journey? #NVIDIA #ArtificialIntelligence #Innovation Source: CIO