Nvidia Is Making Money From AI. For Now

[{"selector":"#anim-6852ac70-4319-47c9-8035-295d2e14b0bb [data-leaf-element=\"true\"]","keyframes":{"transform":["translate3d(-56.2530639871627%, 0, 0) translate(-25%, 0%) scale(1.5)","translate3d(0%, 0, 0) translate(0%, 0%) scale(1)"]},"delay":0,"duration":2000,"fill":"forwards"}] [{"selector":"#anim-89443800-1656-4fa4-9f22-45be476e3285","keyframes":{"opacity":[0,1]},"delay":0,"duration":3600,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-4a1f2bec-b88d-40b6-9037-64879c4111b8","keyframes":{"transform":["translate3d(0px, 221.18863%, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":3600,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] C3.ai reported a 73% increase in the cost of revenue forthe latest quarter compared to the previous year's quarter

[{"selector":"#anim-aab9917c-b682-4f3e-8fca-2176da9b26e9 [data-leaf-element=\"true\"]","keyframes":{"transform":["translate3d(-28.488636233106245%, 0, 0) translate(-25%, 0%) scale(1.5)","translate3d(0%, 0, 0) translate(0%, 0%) scale(1)"]},"delay":0,"duration":2000,"fill":"forwards"}] [{"selector":"#anim-961936fe-c8d9-4ca7-a7e4-1ec55c53c6b6","keyframes":{"opacity":[0,1]},"delay":0,"duration":3600,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-c0d61dc3-599f-43f3-8dde-1a5dd76befc2","keyframes":{"transform":["translate3d(0px, 297.22219%, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":3600,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] – stating the need to overinvest to make their AI products successful.

[{"selector":"#anim-9f999c0b-cbb3-47c8-9fa3-a932a44c91c8 [data-leaf-element=\"true\"]","keyframes":{"transform":["translate3d(-31.249999886225726%, 0, 0) translate(-25%, 0%) scale(1.5)","translate3d(0%, 0, 0) translate(0%, 0%) scale(1)"]},"delay":0,"duration":2000,"fill":"forwards"}] [{"selector":"#anim-26e53fdc-9699-4ec6-97c2-24826687877b","keyframes":{"opacity":[0,1]},"delay":0,"duration":3600,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-d11269fa-9e91-41f9-8644-15e6b2c45467","keyframes":{"transform":["translate3d(0px, 221.18863%, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":3600,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] Despite strong demand, both C3.ai and Palantir have experienced stock gains that outpace their financial gains

[{"selector":"#anim-a114e536-a848-4fb4-9379-9a9af101e20e [data-leaf-element=\"true\"]","keyframes":{"transform":["translate3d(-12.499999772451451%, 0, 0) translate(-25%, 0%) scale(1.5)","translate3d(0%, 0, 0) translate(0%, 0%) scale(1)"]},"delay":0,"duration":2000,"fill":"forwards"}] [{"selector":"#anim-0256722a-f07c-45ec-937f-74d95e01e179","keyframes":{"opacity":[0,1]},"delay":0,"duration":3600,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-706dc6fb-f6a5-4248-8e11-b78c138d5dc5","keyframes":{"transform":["translate3d(0px, 442.37726%, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":3600,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] – suggesting uncertainty in realizing their potential.

[{"selector":"#anim-7611336b-f329-4a78-8339-f14274b8f2a5 [data-leaf-element=\"true\"]","keyframes":{"transform":["translate3d(-34.17499990397451%, 0, 0) translate(-25%, 0%) scale(1.5)","translate3d(0%, 0, 0) translate(0%, 0%) scale(1)"]},"delay":0,"duration":2000,"fill":"forwards"}] [{"selector":"#anim-c1882a49-a75c-416e-b49a-12833483992c","keyframes":{"opacity":[0,1]},"delay":0,"duration":3600,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-7a1a6aba-f3a2-4599-9601-e3031f81f156","keyframes":{"transform":["translate3d(0px, 221.18863%, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":3600,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] C3.ai's CEO, Thomas Siebel, forecasted profitability on an adjusted basis by the end of the 2024 fiscal year

[{"selector":"#anim-d83e0cb4-ec40-4059-86dc-d44b765f5415 [data-leaf-element=\"true\"]","keyframes":{"transform":["translate3d(-34.17499990397451%, 0, 0) translate(-25%, 0%) scale(1.5)","translate3d(0%, 0, 0) translate(0%, 0%) scale(1)"]},"delay":0,"duration":2000,"fill":"forwards"}] [{"selector":"#anim-1289a5eb-d3df-43a8-8211-8617804a1e7e","keyframes":{"opacity":[0,1]},"delay":0,"duration":3600,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-49f033de-f9b5-4eea-88a0-54c57abbb4b5","keyframes":{"transform":["translate3d(0px, 221.18863%, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":3600,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] – while Palantir's CEO, Alexander Caedmon Karp, emphasized the challenge of monetizing the AI trend.

[{"selector":"#anim-e0b2a47c-2f57-4295-ac12-f4bb9359f9ec [data-leaf-element=\"true\"]","keyframes":{"transform":["translate3d(-28.88175074293542%, 0, 0) translate(-25%, 0%) scale(1.5)","translate3d(0%, 0, 0) translate(0%, 0%) scale(1)"]},"delay":0,"duration":2000,"fill":"forwards"}] [{"selector":"#anim-3d83c78e-05e3-41be-8221-347b0bfef751","keyframes":{"opacity":[0,1]},"delay":0,"duration":3600,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-59b31e34-e1bc-427a-9fb1-40e4d924e8f2","keyframes":{"transform":["translate3d(0px, 177.77776%, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":3600,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] – The stock prices of C3.ai and Palantir have already reflected high levels of enthusiasm for AI, with C3.ai up 181% and Palantir up 138% in the year.

[{"selector":"#anim-3e3fc56c-926b-42fd-aba6-0f337e3d264e [data-leaf-element=\"true\"]","keyframes":{"transform":["translate3d(-31.249999886225726%, 0, 0) translate(-25%, 0%) scale(1.5)","translate3d(0%, 0, 0) translate(0%, 0%) scale(1)"]},"delay":0,"duration":2000,"fill":"forwards"}] [{"selector":"#anim-df9ac35d-c98b-4a93-bef9-45089927524b","keyframes":{"opacity":[0,1]},"delay":0,"duration":3600,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-1c808eac-b559-4199-8e7f-2ef9602ac348","keyframes":{"transform":["translate3d(0px, 297.22219%, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":3600,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] all AI-related stocks should experience such dramatic increases, noting that Nvidia

[{"selector":"#anim-1816e8ff-8d11-4d28-9d9c-788c9f386550 [data-leaf-element=\"true\"]","keyframes":{"transform":["translate3d(-31.249999886225726%, 0, 0) translate(-25%, 0%) scale(1.5)","translate3d(0%, 0, 0) translate(0%, 0%) scale(1)"]},"delay":0,"duration":2000,"fill":"forwards"}] [{"selector":"#anim-ee8d9b08-13a7-458c-a518-7aa1f6c2a4f5","keyframes":{"opacity":[0,1]},"delay":0,"duration":3600,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-9331c76a-c23a-40d5-a81c-957c4280d09d","keyframes":{"transform":["translate3d(0px, 442.37726%, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":3600,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] a key player in AI-related chips, has risen 222%.

[{"selector":"#anim-f5efd467-eefd-4cfb-8b2c-9577d90504b3 [data-leaf-element=\"true\"]","keyframes":{"transform":["translate3d(-7.812499744007886%, 0, 0) translate(-25%, 0%) scale(1.5)","translate3d(0%, 0, 0) translate(0%, 0%) scale(1)"]},"delay":0,"duration":2000,"fill":"forwards"}] [{"selector":"#anim-37b1ba5e-60a0-4cd4-aee5-f2620a70b13b","keyframes":{"opacity":[0,1]},"delay":0,"duration":3600,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-8352628a-e600-4dfc-a973-937ccb7f99a1","keyframes":{"transform":["translate3d(0px, 177.77776%, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":3600,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] – C3.ai shifted from a subscription-based pricing model to a consumption-based model to attract more customers.

[{"selector":"#anim-a72afa28-79f4-453d-9771-d0738a272203 [data-leaf-element=\"true\"]","keyframes":{"transform":["translate3d(-12.499999772451451%, 0, 0) translate(-25%, 0%) scale(1.5)","translate3d(0%, 0, 0) translate(0%, 0%) scale(1)"]},"delay":0,"duration":2000,"fill":"forwards"}] [{"selector":"#anim-4de23220-4487-4aab-9302-d5324c1a4b26","keyframes":{"opacity":[0,1]},"delay":0,"duration":3600,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-f124cc84-ee15-4108-a26c-d050316dd089","keyframes":{"transform":["translate3d(0px, 297.22219%, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":3600,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] C3.ai emphasized the need for overinvestment in AI product success

[{"selector":"#anim-fee4ea3e-f05c-4f6c-89bf-a7a171a6a2c1 [data-leaf-element=\"true\"]","keyframes":{"transform":["translate3d(-31.249999886225726%, 0, 0) translate(-25%, 0%) scale(1.5)","translate3d(0%, 0, 0) translate(0%, 0%) scale(1)"]},"delay":0,"duration":2000,"fill":"forwards"}] [{"selector":"#anim-7d443665-7390-4a07-a069-40f1b2870aed","keyframes":{"opacity":[0,1]},"delay":0,"duration":3600,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-6c0f88d8-ec6f-42f6-8fdc-210c36c203fb","keyframes":{"transform":["translate3d(0px, 205.81509%, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":3600,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] – with its total cost for producing and selling subscriptions and services increasing by 73% in the latest quarter.