Competition is certainly increasing with $Advanced Micro Devices(AMD)$ and custom chips from major tech firms such as $Meta Platforms, Inc.(META)$ and $Alphabet(GOOGL)$ , yet it still seems secondary. The real advantage is not merely hardware; it is $NVIDIA(NVDA)$ 's ecosystem. That is what maintains their lead, and while others are catching up on chips, they remain behind on the platform that actually runs AI at scale.
For those who still do not understand, even when $NVIDIA(NVDA)$ is not green for a minute, the vast companies they invest in and use their product are increasing in value, which we longterm holders enjoy on every quarterly earnings report.
$NVIDIA(NVDA)$ I observe that $IREN Ltd(IREN)$ has announced agreements to purchase over 50,000 B300 GPUs from Nvidia, a move expected to expand its total GPU fleet to around 150,000 units.
Due to this brief "war", $NVIDIA(NVDA)$ is likely to sell millions more chips. $NVIDIA(NVDA)$ stands to make billions of dollars from this "war" as their chips will be destroyed with each launch.
What makes $NVIDIA(NVDA)$ hard to replace isn’t just GPU performance. It’s the integration with memory, networking, CUDA tooling, and hyperscaler architecture. That ecosystem lock-in doesn’t disappear in the short term.
$Advanced Micro Devices(AMD)$ Alright, everyone, calm down a bit and don't overreact. Oh dear, what a group of lightweight individuals! Markets fluctuate, stocks fluctuate. If you can't handle the pressure, then step away. Go ahead and secure your 3% return, sleep soundly, but watch inflation erode your wealth until you're broke. If you never take risks in life, you'll never achieve anything. Be brave!
$NVIDIA(NVDA)$ The frustrating aspect is the uncertainty. If the US wants security, that's fine, but it should set clear KYC/end-use rules and move forward. It's the 'pending review' limbo that unsettles customers and investors.