NVIDIA DROPS 7% AFTER META NEWS ON GOOGLE'S AI CHIPS
The market opened the week with a surprising pivot: Nvidia (NVDA) plummeted more than 7%, falling to the range of $169–172, following news that Meta is considering purchasing Google's/Alphabet's AI chips instead of relying on Nvidia as before.
This move could directly impact the growth of AI orders worth tens of billions of USD that Nvidia expects for 2025–2026. Meanwhile, Alphabet surged over 2% thanks to expectations of gaining market share from competitors.
Widespread effects:
NASDAQ turned red as the Big Tech group adjusted.
Bitcoin dropped to $86K, reflecting cautious sentiment across all risk assets.
This could be the first signal of a new competitive cycle in the AI semiconductor industry, where companies are forced to allocate capex more diversely instead of going "all-in on Nvidia".