Nvidia’s Success Powering Many ETFs

A few weeks ago, VettaFi announced an AI symposium at the end of the month. Our hope was to bring some of the leading experts in asset management to discuss how the future is fast approaching. AI was a buzzword in the beginning of the year, and many agreed that it had long-term potential. But has 2023 really been when AI-focused ETFs were a priority?

Nvidia’s Strong Results Prove AI Is Not a Fad

As of last Friday, nearly 900 people registered to join VettaFi on August 30 to hear from industry experts and top asset managers discuss artificial intelligence. (Join us by registering, there’s still room.) This was days after semiconductor giant Nvidia reported impressive quarterly results, driven by demand for AI chips. Revenues doubled from a year earlier to $13.5 billion and skyrocketed 88% from three months ago. Analysts were already expecting strong growth in the coming quarter. Still, Nvidia’s revenue forecast of $16 billion easily exceeded the forecasts.

“The world has something along the lines of about a trillion dollars worth of data centers installed, in the cloud, enterprise and otherwise,” Nvidia CEO Jensen Huang said on a call with analysts, according to CNBC. “That trillion dollars of data centers is in the process of transitioning into accelerated computing and generative AI.”

For much of 2023, Nvidia has been the darling of the investment world due to demand for its AI chips. Alphabet, Amazon, Meta Platforms, and other companies purchase Nvidia chips to support their own growth opportunities.

See related: Rosenbluth Digs into the Types of AI Funds