NVIDIA is encountering increased scrutiny over its valuation and competitive landscape. Short-seller Michael Burry has accused the company of exaggerating the lifespan of its chips and inflating profits, raising concerns about its financial practices. In response, NVIDIA has issued a memo to Wall Street defending its chip technology and addressing Burry's claims.
The competitive pressure is mounting as Google's Gemini 3 model, utilizing in-house AI chips, gains traction. Additionally, Meta's potential adoption of Google's hardware could further challenge NVIDIA's market position. Despite these challenges, NVIDIA emphasizes the flexibility and power of its chips compared to Google's ASICs, such as the TPU.
NVIDIA Under Scrutiny Amid Valuation Concerns and Rising Competition
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