Increased adoption of artificial intelligence (AI) could potentially lead to sustainable demand for Nvidia’s AI chips, where it currently already has more than 80% market share, according to various analyst estimates.
In the past month, Monex analysts felt that a number of investors tempered their optimism about AI technology, as some companies paused to assess whether the GPT Chat innovation path would be viable in terms of future investment/flows, Otherwise, it would be “speculative”.
“It is good to point out that the capacity of public companies has been the most mentioned in financial media, however, OpenAI is the 6th most valuable private company in the US. On the other hand, it is worth mentioning that said platform uses “chip” technology “(semiconductors) from various companies, where Nvidia stands out mainly,” Monex analysts said in their report.
Business analytics platform CB Insights commented on its blog that Nvidia’s achievement is attributed in part to its pioneering work in accelerated computing, which uses specialized hardware to complete demanding software tasks much faster than was previously possible. .
CB Insights noted that this effort was initially focused primarily on gaming, but Nvidia’s development of parallel processing in 2006 paved the way for new capabilities in scientific and research applications. This advance allowed for multiple computations at one time rather than sequentially, resulting in much faster processing speeds.