While NVIDIA provides the brains or GPUs and TSM manufactures them, Credo provides the "nervous system" - the cables and chips that allow these massive AI clusters to talk to each other at lightning speeds.
Credo's flagship innovation is AEC Technology. AEC stands for Active Electric Cable. Credo's AECs are copper cables with a tiny retimer chip inside. They offer the speed of optical with the lower cost and power consumption of copper.
Why Is Credo A Buy? Credo has confirmed partnerships with hyperscalers like Microsoft and Amazon.
Credo is currently the market leader in the AEC niche. This is expected to grow at a massive compound annual growth rate (CAGR) as data centers move from 400G to 800G.
A good way to invest in Credo is by using a dollar cost averaging as it is a high risk high reward stock.
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