Chip giant Nvidia brought some relief to the tech sector after beating market expectations with quarterly results.
The company is increasingly optimistic about artificial intelligence, helped by ChatGPT being the ultimate water cooler discussion point this year.
Itโs been ages wince weโve had a real buzzword in the tech space and the chatbot has certainly taken the world by storm in a very short period of time. Nvidia stands to benefit as its chips are used to develop machine learning software.
AJ Bell’s Russ Mould said:ย โThe company calls its DGX system an โAI supercomputerโ and โthe blueprint of AI factoriesโ being built around the world. The newly announced launch ofย aย cloud-based version of the system makes it even easier for companies to get on board this megatrend.
โWhen you have โthe next big thingโ in tech, itโs natural for investors to scramble to find ways to play the theme. Nvidiaโs involvement in the AI space now puts it directly under the spotlight which means there could be strong demand for the shares, explaining why there has beenย aย positive market reaction to its latest results alongside the earnings beat.โ
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