According to foreign news reports, in order to establish a dominant position in the field of generative artificial intelligence, SoftBank founder and CEO Masayoshi Son announced a plan to raise an unprecedented $100 billion in funding for its artificial intelligence company, challenging Nvidia's position.
In other words, this ambitious move is a direct challenge to Nvidia's market supremacy.
Meanwhile, Bloomberg reported that SoftBank intends to invest $30 billion in its own capital and seeks an additional $70 billion from Middle East investment firms.
SoftBank is vying for AI supremacy.
The huge investment is aimed at strengthening SoftBank's foothold in the field of artificial intelligence and could disrupt Nvidia's market position.
According to Bloomberg, it is worth noting that the proposed AI joint venture is expected to complement the operations of British chip design company Arm, in which SoftBank holds a majority stake.
At the same time, recent developments, including Nvidia's 1The $47.3 billion investment puts the company in the spotlight and highlights the evolving dynamics of the tech industry.
In addition, SoftBank's partnership with ARM has marked significant milestones, including a $32 billion** acquisition in 2016. However, regulatory challenges have hampered an attempt to give ARM to Nvidia for $40 billion in 2022, highlighting the complexity of high-risk transactions.
At the same time, Son's ambitious plans to reshape the future of AI are in line with similar initiatives in the tech industry. On the other hand, OpenAI co-founder and CEO Sam Altman is actively seeking funding for a transformative technology initiative aimed at enhancing global chip manufacturing capabilities.
The project is expected to require up to $5 trillion to $7 trillion, highlighting the growing demand for cutting-edge technologies that are driving AI applications forward. In addition, Altman's emphasis on expanding GPU capabilities reflects the growing importance of advanced chip design in AI R&D.
What's next for Nvidia in earnings expectations?
With global chip sales surpassing $527 billion last year and expected to exceed $1 trillion annually by 2030, the race to harness the potential of AI is bound to intensify. With the likes of SoftBank and Nvidia vying for supremacy, the future of AI innovation hangs in the balance.
Meanwhile, investors are now eagerly awaiting Nvidia's earnings report for clues on the company's financial health. In addition, the recent earnings report will reveal how the AI boom has helped the company grow.
Notably, NVIDIA's fourth-quarter FY2024 earnings are scheduled to be released after next Wednesday (February 21)**. According to analysts**, revenue and profit are expected to grow significantly, driven by advancements and growing demand in the field of artificial intelligence (AI).
At the same time, ** shows that revenue could triple to 203Around $800 million, net profit soared to $10.4 billion, and earnings per share reached 4$18. Notably, Nvidia had a strong performance of 145., driven by growth in its data center businessAn all-time high of $100 million.
According to reports, the data center business is expected to contribute 168US$600 million, an increase of more than four times over the previous year. Given Nvidia's strong performance in AI and data center services, stakeholders are eagerly awaiting the upcoming earnings report, which will reflect the company's continued dominance in the tech sector.