The AI faithful believe the technology will disrupt virtually every aspect of modern life, from phone operating systems to pharmaceuticals to finance. And even if there is a bubble, proponents say, the dot-com bubble gave us companies like Amazon, and the internet became, well, the internet.
Except the gaming industry and consumer graphics card sales are a sliver of their annual profits. Nvidia are selling the shovels to this ai gold rush. They are the ones that will come out of this bubble standing above the rest.
Well they’ll have more money than everyone else, but they won’t be able to continue making record profits every year for eternity which of course means their business is a complete and utter failure and they have to lay off half their staff
Its not self-sustaining if Nvidia is relying on their status of being a near-monopoly in a crirical part of the single largest entertainment industry in the world to fund it.
That’s what I am thinking, Nvidia has near monopoly, they’ll be fine if the bubble burst, and so are TMSC and AMD because of having similar status. I only have those three AI companies invested in.
Many people invested in as many AI companies as possible, and the problem is that if the repeat of dotcom bubble bursts but with AI, it will take another decade and half to recover except for certain companies with better fundamentals.
The problem with Nvidia is that they can use the profits of the gaming industry and digital currency mining to fund AI nearly limitlessly
Except the gaming industry and consumer graphics card sales are a sliver of their annual profits. Nvidia are selling the shovels to this ai gold rush. They are the ones that will come out of this bubble standing above the rest.
Well they’ll have more money than everyone else, but they won’t be able to continue making record profits every year for eternity which of course means their business is a complete and utter failure and they have to lay off half their staff
If it was sustainable it wouldn’t be a bubble
Its not self-sustaining if Nvidia is relying on their status of being a near-monopoly in a crirical part of the single largest entertainment industry in the world to fund it.
That’s what I am thinking, Nvidia has near monopoly, they’ll be fine if the bubble burst, and so are TMSC and AMD because of having similar status. I only have those three AI companies invested in.
Many people invested in as many AI companies as possible, and the problem is that if the repeat of dotcom bubble bursts but with AI, it will take another decade and half to recover except for certain companies with better fundamentals.