IT Home, October 17: Amid the recent sharp decline in AI-related stocks, NVIDIA CEO Jensen Huang remains optimistic, believing that the positive impacts of AI will soon outweigh investor concerns.
“Everything will pass—it’s very simple. AI will bring profound changes and have a very positive impact on every industry and every country. There is no doubt that this process will continue, and we’ve only just begun,” said Jensen Huang.
Just before Huang Renxun made the above remarks, the chip and AI infrastructure sectors experienced a turbulent week. The Philadelphia Semiconductor Index fell for eight consecutive trading days, marking its longest losing streak since 2008; NVIDIA also closed lower on seven of the past eight trading days. As borrowing costs rise, investors are beginning to question whether the massive spending in the AI sector can be sustained.
Jensen Huang remains confident in the future of the AI market and AI’s ability to drive overall economic growth. He expects that the eventual returns from large-scale hardware investments will help alleviate market concerns.
"Some recent news has indeed caused market volatility. Everyone knows that news comes out every day, but these events won't change the fundamentals," he said.
According to IT Home, CoreWeave, a cloud computing provider backed by NVIDIA, was particularly hard hit in this selling wave. CoreWeave’s bond prices have recently fallen to levels typically seen as signals of financial distress, and its stock price has declined by approximately a quarter this week.
Jensen Huang has repeatedly reminded investors not to be swayed by short-term news, but to focus on the long-term value of AI technology. He emphasized again in the interview: “Always focus on first principles. Always focus on the fundamentals.”