Nvidia and AI Chips (Finance)
July 10, 2024
Nvidia makes graphics processing units (GPUs) that powers all things artificial intelligence (AI).
As of today, Nvidia is the third most valuable company on Earth, holding a dominant 80% share in the AI chip market with a value of $3 trillion. Another AI giant, OpenAI, released ChatGPT in October 2022, and since then, Nvidia’s value has increased by $2 trillion, bringing it close to the value of Amazon. I’m not sure if Nvidia’s stock is in a bubble or if its value is justified by the growth of AI. AI will be a huge part of the future, but let’s see how other large companies go about raising money for all things related to AI.