From Nasdaq: 2025-05-11 06:10:00

AI technology has limitations, as it only predicts the next token in a stream of data. Businesses struggle to see positive returns on AI investments, with only 25% of CEOs reporting expected ROI and 16% scaling AI initiatives enterprise-wide. Despite challenges, 85% of CEOs expect positive ROI from AI by 2027.

Nvidia’s growth relies on demand for expensive AI accelerators, but businesses are seeking more affordable AI solutions. Cheap AI models like DeepSeek and Microsoft’s “1-bit” model are gaining traction, threatening Nvidia’s high-cost strategy. Affordable AI benefits companies like IBM, while Nvidia may face challenges in a changing industry landscape.

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