Againin October NVIDIA surpassed the APPLE company as the best valued company, reaching 3.53 billion dollars in market capitalization. In contrast to the previous record hit in June, which was brief, they say this time is different because the company’s remarkable performance is based on insatiable demand, which began in the second half of 2023, for microprocessors known as Processor Units. Graphics Processing (GPUs) used to apply artificial intelligence.
NVIDIA dominates almost 90 percent of the market for these semiconductors, originally designed for video games, necessary to develop systems capable of recognizing images and predicting words. NVIDIA’s revenue in the quarter ending in September was $35 billion and net income hit $19 billion, up from $9.24 billion last year, higher than Amazon and Meta’s quarterly profits.
NVIDIA Chief Executive Jensen Huang, interviewed in October at a symposium in Orlando, Florida, advised business leaders to prepare for what he called “the new industrial revolution,” which involves applying artificial intelligence to data about business processes and interactions with customers. Based in Santa Clara, California, NVIDIA uses artificial intelligence to perform tasks such as microprocessor design, computer programs (software), or supply chain management. In addition, it has begun shipping a new, more powerful microprocessor called Blackwell. “The computing industry has fundamentally changed,” said NVIDIA boss Huang, “from an industry that produced computer programs, we have become an industry that is manufacturing artificial intelligence.”
* International analyst and consultant, former director of the ECLAC Office in Washington. Economics and finance commentator for CNN en Español TV and radio, UNIVISION, TELEMUNDO and other media.
