On October 30, NVIDIA made history by becoming the first company worldwide to exceed a market capitalization of $5 trillion. Analyses indicate that roughly 39% of investments in AI data centers are channeled into GPUs, with NVIDIA's products taking a leading role in this market. Boasting a gross margin as high as 70%, NVIDIA effectively transforms 30% of the total expenditures on AI data centers into profits, which in turn propels the growth of its market capitalization. Furthermore, NVIDIA dominates the AI chip market with a share exceeding 90%, and its CUDA ecosystem attracts a developer community of over 4 million, creating substantial technological barriers for competitors.
