From The Wall Street Journal: 2024-04-13 03:05:00

Nvidia hit record highs but has since cooled down, trading over 11% below its peak. Wall Street worries the AI chip market bubble may have popped due to competition. Intel aims to challenge Nvidia’s AI dominance with new Gaudi 3 accelerator. At present, Nvidia leads with over $47.5 billion in data center revenue.

Intel’s new Gaudi 3 chip is expected to outperform Nvidia’s H100 and upcoming H200 at a fraction of the cost. Intel targets Nvidia’s AI position with this 5nm chip. Though Nvidia’s upcoming Blackwell GPU architecture promises significant performance and efficiency gains. Major cloud providers expected to deploy Nvidia’s B200 chips.

Despite Intel’s efforts, Nvidia is expected to maintain its leading position in the AI chip market. Analysts forecast Nvidia’s data center revenue to double in 2024. Will Nvidia’s aggressive pricing and superior performance keep it ahead? Investors expect Nvidia to remain the dominant player in AI chips, with a share of over 80%.

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Read more at The Wall Street Journal: Nvidia Stock Is Down 11% From Record Highs: Will This Artificial Intelligence (AI) Development Bring More Bad News for Investors?