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> But NVIDIA don't need to care about that at the moment But NVIDIA investors do, NVIDIA's current valuations relies on GPU's continuing to sell at premium pri
by Jensson 2y ago
> But NVIDIA don't need to care about that at the moment
But NVIDIA investors do, NVIDIA's current valuations relies on GPU's continuing to sell at premium prices at ever increasing demand for decades to come, otherwise they wont be close to make trillions in total future profits that their current market cap demands.
- boringg 2y agoCouldn't agree more with you. I can't invest into Nvidias current pricing because it relies on expectational execution and macros that continue to drive demand with either no competitors eating up market share OR technology not changing on them. It just seems like the current valuation is upheld by excellent performance and demand outstripping supply in the current moment. Throw in everyone being blown away by LLMs performance + lots of hype and people choosing the one company to put their bet on.
- Ekaros 2y agoPremium prices is real sticking point for me. 100 billion is not lot to get say 30% that is 1 trillion of market cap. And this can happen in 3, 5 or 10 years... So there will be competition. And on other hand question can also be total cost of ownership. If you have slower and more energy inefficient competing product. But the cost over lifetime is only say 75% it is not that bad deal...