The increasing demand for Nvidia's GPUs is raising concerns about a potential shortage. The company's stock has tripled in price this year due to the high demand, making it the S&P 500's best performer in 2023. The company's market capitalization has also risen to over $1 trillion.
Key takeaways:
- Saudi Arabia and the United Arab Emirates are the latest to buy Nvidia chips to power their artificial intelligence ambitions, joining Elon Musk and China.
- Saudi Arabia has purchased at least 3,000 of Nvidia's H100 chips at $40,000 dollars each, while UAE has ordered a fresh batch of semiconductors for its own large language model.
- The demand for Nvidia's GPUs is so high that there are concerns the company might not be able to produce enough to meet the demand.
- Nvidia's stock has roughly tripled in price this year, and its market capitalization has swelled to over $1 trillion, making it the S&P 500's best performer in 2023.