Nvidia: ad astra?
In the wake of Nvidia recently becoming the most valuable company in the world, and its founder, Jensen Huang, increasing his already considerable fortune after a patient wait, I had a brief conversation on Wednesday with one of my students, a former employee of the company and a shareholder, who wondered if he should sell now or hold on and hope the share price continues its upward journey.
The doubt is shared by Huang himself, who in anticipation of a possible drop in sales of its chips, already converted into the standard in the AI market, is trying to shield himself moving into software and cloud services, along with tailor-made racks for Nvidia chips, that is, building a portfolio of products and services associated with current demand.
Is Nvidia about to hit its highest note, or does it still have a long way to go? Firstly, despite the seeming ubiquity of AI as more and more companies are incorporating machine learning and AI into their products and services, we’re still a long way from a mature market, and much less one that is stagnant.
Secondly, we are still talking about a first phase of the application of generative AI to administrative tasks that, in general, are carried out in front of a computer screen. Assistants of very different types, data processing to obtain predictions, etc. are very interesting, but they leave out a huge number of…
