We're not yet participating in the cloud-based AI data center market in a meaningful way,” Holthaus admitted. “We have learne

When OpenAI released ChatGPT in 2022, companies started spending billions on GPUs to train AI models. Nvidia led the market for graphics processing units (GPUs), so it was the right company at the right time to deliver monster returns to investors.

Initially, market analysts had predicted an increase in interest around growth options for 2024 due to easing inflation and potential rate cuts. However, AI has taken this expected interest and amplified it into an economy-wide wave of optimism.

Data center technology spending skyrocketed 34 percent in 2024, according to Synergy Research Group. It is soaring past a half a trillion dollars in the first month of 2025 as banks and technology vendors vie to build out massive AI compute.

Despite DeepSeek's AI model, Nvidia's dominance in GPUs ensures growth. Read why NVDA stock is still a strong buy at the current low price.

Nvidia is touting the performance of DeepSeek’s open source AI models on its just-launched RTX 50-series GPUs, claiming that they can “run the DeepSeek family of distilled models faster than anything on the PC market.” But this announcement from Nvidia might be somewhat missing the point.

Importantly, several Wall Street analysts have updated or reiterated their forecasts since DeepSeek published its research paper last week, and they all see upside in Nvidia stock from its current price of $128 per share. Gil Luria at D.A. Davidson set his target price at $135 per share, implying a 5% upside.

Intel Corp. is taking a more combative stance in the data center market, signaling an aggressive pricing strategy to defend its territory against mounting competition from rivals like Advanced Micro Devices Inc.

Global investors are worried the emergence of a low-cost Chinese AI model will threaten the dominance of AI leaders.

Wall Street analysts rerated NVIDIA Corp NVDA -3.53% Get Free Report after U.S. tech stocks plunged Monday as Chinese open-source artificial intelligence platform DeepSeek made the market jittery over the AI technology investment prospects in the U.S. tech firms.

Amazon.com Inc. is expected to spend 60% more than previously announced on a massive data center project in Mississippi, underscoring the escalating costs for artificial intelligence infrastructure.

The tech industry has had an insatiable appetite for Nvidia’s chips over the last two years. But the feast may be over sooner than many had expected.