Nvidia: AI Computing Beyond Huang’s Law

Nvidia Corporation (Nvidia), had grown into a critical enabler of the global artificial intelligence (AI) value chain. The company’s products had been advancing at a pace consistently faster than the prediction of Moore’s Law: a phenomenon that some in the industry named Huang’s Law. However, while it had established a comprehensive ecosystem consisting of cutting-edge hardware and software widely adopted by a variety of customers, Nvidia was facing growing competition from its largest customers—major hyperscalers such as Microsoft Corporation, Google LLC, Meta Platforms Inc., and Amazon Inc. These technology giants had begun to reduce their reliance on Nvidia by developing and integrating their proprietary AI chips. What strategic responses can Nvidia design and employ to maintain and fortify its industry standing?