Nvidia is a $ 3 billion bet to Tokenization of everything

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Anyway, everything looks like a nail. The manufacturer of chips consisting of artificial intelligence seems like “Token”. This is an industrial lingo for information units entering and spitting the AI ​​model. Nvidia’s founder Jensen Huang believes that a miracle explosion of the world is in a clock. Sunday capitalization depends on the market capitalization from 3.3tn.

NVIDIA earned $ 44 billion in the three months ending in April 69 percent higher According to LSEG, they waited more than a year ago and more than analysts. The company’s biggest benefit of the company AI BOOM, when it comes to the most modern chips, with the naughty competition – 71 percent was reflected in the total margin.

This is not a hiccup. NVIDIA has won $ 4.5 billion as a result of export limits in China, which is a $ 50 billion market than the annual income. Nvidia was already binding the White House to sell only fewer versions of the People’s Republic of AI chips. Written, Nvidia would be larger than unable to reuse unexpected parts elsewhere.

Fortunately, a window opens where a door is closed. The sale of the company’s new Blackwell AI chips is expanding faster than expected. Morgan Stanley analysts, for example, increased $ 43.5 billion in revenue in the current quarter in July, gained $ 43.5 billion. Instead, the company says that $ 8 billion has been waiting for $ 45 billion after the lost sales.

Moreover, a new wave of the AI ​​”factories” is spread to fill a porcelain hole. Great technological companies from the alphabet to Oracle have already planned the mammoth information centers, and now governments fall on the act. Sovereign in Saudi Arabia, the United Arab Emirates and Taiwan “Sovereign”. Huang is traveling to Europe next week, a journey that can prepare more spectacular ads.

Then there is token growth – more chip request – comes from companies that use practical models for increasingly complex models. The data center construction is already Added 1 percent point In the first quarter, the US GDP, Apollo Global Management Note strategists. Starting thinking “regulatory” bots, check and double check, using a more simple survey, previously arguing from AI models, Huang.

Will they all use nvidia chips to do this? So far, there is a lot of game in the city. The nearest US opponent AMD is only one sixth first income. Cerebras begins with a supporter of an ambitious Abu Dhabi, a low base. And this oil has a total margin of fire in Nvidia, has a lot of fire, necessary. If the Tokingization of everything is the current pace, NVIDIA is further continuing.

john.foley@ft.com