Nvidia's market growth has already been impressive this year, and thanks to exploding demand for AI, the tech giant could become the world's most valuable company in the next two and a half years.
However, the company is not alone in seeing a significant increase in value thanks to AI. His server maker Supermicro has grown by an impressive 800% over the past year, thanks in no small part to an early collaboration with Nvidia. Both companies were founded in his 1993 year and their headquarters were within 10 miles of each other.
But it's not just the Nvidia link that's driving growth. The company has introduced many innovative technologies and features to make it more attractive to customers. This includes water cooling for cooling graphics accelerators in high-performance data centers and building block architectures that simplify server rack upgrades.
Supermicro didn't suddenly jump on the AI bandwagon; it has been deeply involved in the technology for nearly two decades and is now reaping the fruits of its early beliefs. The company reported that half of its $3.66 billion in total revenue in the December quarter came from AI, and raised its 2024 revenue forecast to $14.3 billion to $14.7 billion.
Investors are grouping Supermicro with other AI-related chip companies that are developing products focused on accelerating AI. but, market watch Supermicro CEO Charles Liang has warned that the AI boom will continue, despite reports of growing concerns that high-flying stocks like Nvidia and Supermicro could relive the dot-com bubble of the past. believes it will continue for “many more quarters, if not years.”
In an interview with CRNLiang said, “Sometimes I like to compare the AI revolution to the industrial revolution of 200 years ago. I personally believe that this AI revolution will have an even greater impact on our planet than the industrial revolution. We believe there is great potential because AI will impact everything in our lives, visible and invisible. Therefore, the impact will be everywhere. I guess.”
