The article discusses CNBC Mad Money host Jim Cramer’s positive stance on Nvidia Corp. amid rumors that Microsoft Corp. is working on launching its own artificial intelligence (AI) chip. According to the report, Microsoft’s chip is designed to reduce its reliance on Nvidia-designed AI chips for data center servers. Cramer reassured investors that the rumors about Microsoft’s AI chips should not cause concern for Nvidia stock. He emphasized Nvidia’s position as a frontrunner in the AI race and its advanced technology, including its GPU and advanced networking capabilities. The article also mentions Nvidia’s strong financial performance and high demand for its chips.
In response to the rumor that Microsoft is working on its own AI chip, Cramer, a fan of Nvidia, dismissed the concerns and called it “misinformation.” He highlighted Nvidia’s leadership in the AI industry, citing its advanced GPU, networking, and memory capabilities, as well as its development of a new CPU. The article also mentions the surge in demand for Nvidia’s chips and its strong financial performance in the second quarter. The company’s revenue and earnings surpassed expectations, and its forward guidance exceeded projections. The article concludes by emphasizing Nvidia’s position as the clear winner in the AI race so far.
Overall, the article highlights the speculation surrounding Microsoft’s development of its own AI chip and its potential impact on Nvidia. Cramer’s positive stance on Nvidia and his dismissal of the rumors provide reassurance to investors. The article also emphasizes Nvidia’s dominant position in the AI industry, its advanced technology, and its strong financial performance.
