TECH - Nvidia's Secret Weapon Is Not Just Chips But Investing $1.5B In AI's Rising Stars: Report Unveils CEO Jensen Huang's 10-Year Vision | Benzinga
Nvidia Corp. (NASDAQ:NVDA), the posterchild of the AI revolution, did not just capitalize on the rising demand for its AI accelerators but has also flexed its muscle as a venture capital investor in firms leveraging on the technology, a Wall Street Journal report said on Sunday.
What Happened: Nvidia has invested in about three dozen startups, with investments in other companies rising sharply from $300 million a year ago to $1.55 billion at end-January, the Journal report said, citing Dealogic data and company data.
Nvidia’s investment rationale is not getting superlative returns but giving it a toehold in the developing AI trends, as the technology spreads its tentacles into new markets and is used to solve new problems, the report said.
Additionally, the investments help Nvidia “build out the future ecosystem of businesses that depend on its technology” even as rivals are trying to break into the chipmaker’s dominance by embarking on making their own AI accelerators, ...