From Yahoo Finance: 2025-03-21 15:07:00

Nvidia is predicted to outgrow overall data center spending, with AI factories and inference demand on the rise. The company’s Blackwell architecture promises a 40x performance improvement, positioning it to dominate AI inference. AI factory investments could further boost Nvidia’s potential beyond current estimates by hundreds of billions.

JPMorgan analyst Harlan Sur believes Nvidia’s total cost of ownership advantage and revenue-generating potential give it an edge over competitors with custom AI chips. Nvidia’s seamless integration of hardware and software makes adoption easier for enterprises, while rivals struggle to optimize their ASIC solutions.

Nvidia is transitioning from Hopper to Blackwell, expecting to stabilize its architecture over the next three to four years. Gross margins are projected to reach the mid-70% range, solidifying the company’s dominance in AI. The holistic ecosystem and software stack give Nvidia a competitive advantage for long-term growth in the AI market.



Read more at Yahoo Finance: Is Nvidia Sitting On The AI Goldmine No One Sees Yet?