Nvidia essentially has no competitors so far, the competitors are in fact years behind, the moat is deep and wide, it will be the No1 market cap company for a few years down the road probably, if it keeps executing well that is. Apple's all products can easily be replaced.
Nvidia could buy some cloud companies to become AI-cloud vendor too, instead of just selling equipment and chips, that will make it even bigger.
Interesting. I perceive it exactly the opposite way. Apple products are hard to replace due to ecosystem advantage while everybody (Apple included!) is already working on building hardware to avoid using Nvidia's H100s.
Apple is reportedly building M2 Ultra and M4-Powered AI servers. We will see what this end up looking like, but I'd say that the M2 Ultra is a very competitive product. Even if it's not really the same kind of architecture, it might very well be a better approach, or a good enough alternative.
When 40% of NVDAs revenue comes from 4 large customers who already develop their own silicon, that's the risk. People will be watching Meta's and MS's capex, and if it's at all adjusted down, that's a bad sign for NVDA. If the CEO or CFO were to mention they were able to adjust their GPU mix to more of their in-house version, NVDAs growth rates and multiple will come under question.
I had the same thought. Apple has a lot of "stickiness" for their customers - whether you think this is due to superior technology or just marketing is debatable. Meanwhile, raw computing power is fundamentally fungible and there's a lot of incentive to undercut NVDA's offerings. The only question is how long it will take to do so.
> superior technology or just marketing is debatable
“Superior customer experience” is missing from this. I don’t care if the processor in the iPhone is the fastest or not, or if it has 8Gb of RAM vs some Samsung and I care even less about marketing.
Apple is only sticky to those who buy into the ecosystem. Those whose a single Apple device (or 2) without paying for any Apple service are not trapped in the walled garden
Nvidia could buy some cloud companies to become AI-cloud vendor too, instead of just selling equipment and chips, that will make it even bigger.