The past week in the tech world was dominated by significant developments in the artificial intelligence (AI) sector. From Goldman Sachs’ take on the AI tech sector’s growth to Nvidia’s ambitious plans, the week was filled with intriguing stories. Here’s a quick round-up of the top stories that made headlines:
Goldman Sachs on AI Tech Sector
Despite the significant growth and investor interest in artificial intelligence stocks, analysts at Goldman Sachs have dismissed the idea that the sector is in a speculative bubble, akin to previous technology booms such as the late 1990s internet bubble. They emphasized the importance of diversification out of the ‘Magnificent 7’, which includes tech giants like Apple Inc. AAPL and Amazon.com AMZN. This cautious outlook suggests a more balanced view of the AI market, emphasizing the need for careful investment and a focus on diverse players beyond the well-known giants.
Nvidia’s One-Stop Shop Ambition
Nvidia Corp. NVDA has been maintaining a competitive edge in artificial intelligence technology by providing full-stack solutions. A recent report suggests that the company, led by Jensen Huang, is aiming to go beyond selling AI accelerators that power data centers. Instead, it wants to offer a one-stop solution to its data center customers. This ambitious move would solidify Nvidia’s position as a leading provider of comprehensive AI solutions, catering to the entire data center ecosystem and potentially increasing its market share.
Cathie Wood’s Congratulatory Message to Elon Musk
Cathie Wood, the head of Ark Invest, congratulated Tesla TSLA and SpaceX CEO Elon Musk and his xAI team for successfully bringing the Colossus 100,000 H100 training cluster online in just 122 days. She hinted at ‘many big announcements ahead’. This accomplishment showcases xAI’s rapid progress and potential, and Wood’s optimistic statement suggests anticipation for future breakthroughs from the company.
Nvidia’s Projected $10 Trillion Valuation
According to Beth Kindig, lead tech analyst at I/O Fund, NVIDIA Corp. NVDA is projected to surge to a $10 trillion valuation. Kindig highlighted the potential of Nvidia’s next-generation artificial intelligence chip, Blackwell, which is expected to propel the chip maker with ‘fireworks again’ in 2025. This bold prediction reflects the immense confidence in Nvidia’s ability to continue its dominance in the AI chip market, driven by the anticipated power and capabilities of its upcoming Blackwell chip.
OpenAI Co-Founder’s Startup Raises $1B
Microsoft Corp.-backed MSFT OpenAI’s co-founder Ilya Sutskever’s newly founded startup, Safe Superintelligence (SSI), has raised $1 billion from prominent venture capital firms such as Andreessen Horowitz, Sequoia Capital, DST Global, and SV Angel. This substantial funding signals a strong belief in the potential of SSI to develop safe and beneficial artificial general intelligence, further emphasizing the ongoing race towards advanced AI development and its potential impact on the future.
