At the big GPU conference in March NVDA CEO made a point of acknowledging Michael Dell in the audience for Huang's keynote speech. It seems Dell is going to be a player in Nvidia's roll-out of server farms.
Dell's stock is down 17.75%( -$30.16) this morning 139.76 last.
From Barron's, May 31:
Nvidia Stock Gains. What Dell’s Earnings Mean for the Chip Maker.
Dell executives say there is strong demand for AI-powered servers, particularly those powered by Nvidia chips.
Nvidia was rising Friday after the chip maker received another confirmation of its leading position in artificial-intelligence hardware in results from Dell Technologies.
Nvidia shares were up 1.7% at $1,123.55. The stock closed down 3.8% on Thursday as sentiment darkened around technology stocks.
Shares might have been hit in the previous session by a report that Nvidia and other chip makers face a slowdown in getting licenses from U.S. officials for the export of large-scale AI accelerator shipments to the Middle East while a security review of the region is being carried out, according to Bloomberg, which cited people familiar with the matter.
Nvidia declined to comment on the report.
Further signs of Nvidia’s dominance in the AI chip market came from Dell Technologies , which reported earnings on Thursday and said there was strong demand for AI-powered servers, particularly those powered by Nvidia’s chips.
“When you look at the composition of our [AI server] backlog, it’s primarily Nvidia based … It’s continuing to build every quarter. Our five-quarter pipeline continues to grow,” said Jeffrey Clarke, Dell’s chief operating officer, in a call with analysts on Thursday....
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