Nvidia CEO Jensen Huang worries that tech giants don't have enough data centers to install AI chips - Photo: AFP
On June 18th, Nvidia surpassed other technology companies to become the world's most valuable publicly traded company, overtaking giants like Apple and Microsoft.
Amidst the continued boom in artificial intelligence (AI) technology, Nvidia's chips are considered the gold, the new oil, of the tech industry.
Over the past 18 months, the American chipmaker has experienced phenomenal growth. On June 18th, Nvidia's stock rose 3.4% on the stock exchange, bringing the company's market capitalization to approximately $3.3 trillion, surpassing Microsoft and Apple. Nvidia's value has increased 174% this year.
This chipmaker is driving the AI wave and is the largest supplier of AI GPU chips to companies like Microsoft and Amazon. However, some recent reports suggest growing concerns from Nvidia CEO Jensen Huang.
Recently, The Information reported that Huang had discussed this concern with company executives in a series of meetings. He worried that the company's biggest customers might not buy more chips from Nvidia.
"Nvidia CEO Jensen Huang convened a series of meetings with company executives to discuss growing concerns about whether Nvidia's largest customers would run out of data center space to install AI chips. This could impact sales," the newspaper quoted a source who attended these meetings.
Accordingly, what Nvidia's CEO is concerned about is whether cloud giants like Amazon and Microsoft are expanding their data centers and infrastructure quickly enough to handle their orders.
Following the meetings, Nvidia's managers intensified their inquiries to partners on this issue.
Could Nvidia reach $10 trillion by 2030?
The demand for powerful GPU chips, shaping new growth trends in the AI field, has helped Nvidia see soaring profits. In May 2024, Nvidia reported net profit of $14.9 billion, while revenue reached $26 billion, nearly four times higher than the same fiscal year.
"We believe that in the coming year, the race to reach a $4 trillion market capitalization in the technology sector will be primarily a competition between Nvidia, Apple, and Microsoft," Wedbush Securities stated.
But with its enormous potential, analysts believe Nvidia could quickly reach $5 trillion, or even $10 trillion by 2030.
Source: https://tuoitre.vn/cong-ty-lon-nhat-the-gioi-nvidia-so-e-chip-20240620224251613.htm
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