Nvidia's Market Dominance in AI Chips
Nvidia has been at the forefront of the artificial intelligence (AI) revolution, significantly benefitting from the massive investments tech companies have made in generative AI. Over the last two years, Nvidia's market cap has surged by $2.5 trillion, driven by the skyrocketing demand for its GPUs (Graphics Processing Units). These chips are essential for AI computations, and this demand has led to a remarkable expansion of Nvidia's gross margins, now in the upper 70% range. Such financial success is indicative of Nvidia's strategic prowess in the tech landscape.
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