In the weeks since the ChatGPT artificial intelligence tool took the world by storm, Nvidia Corp. has emerged as Wall Street's preferred pick for traders seeking to profit from its potential.The chipmaker's stock has rallied 29% since the start of the year, placing it among the best performers in the S&P 500 Index.
Contributing to the gains has been the hype around the chat bot released by OpenAI late last year that has demonstrated an uncanny capacity to mimic human writing.The rationale is simple: Nvidia dominates the market for graphics chips designed for complex computing tasks needed to power AI applications.
The more people use ChatGPT, the more computing power its owner OpenAI requires to generate responses to the millions of queries received from lazy students with essay assignments or struggling songwriters.On Monday, Microsoft Corp.
announced that it was making an investment in OpenAI that is said to total $10 billion over multiple years. The funding is needed by OpenAI to ramp up computing power and will likely only bolster demand for Nvidia chips.Read more on tech.hindustantimes.com