Nvidia's stock drops following CEO's humorous remarks

At the Nvidia GTC Conference in San Jose, CEO Jensen Huang presented his vision for artificial intelligence (AI) to an audience of over 25,000 people. His speech aimed to outline Nvidia's plans as it seeks to establish itself as a leader in AI infrastructure. Huang's remarks included a light-hearted comment about being the company's "Chief Revenue Destruction Officer." He advised against purchasing older Hopper GPUs now that the new Blackwell GPUs are rolling out. This humorous take, however, did not sit well with investors, and Nvidia's stock dropped by 2.6% after his talk. During the keynote, Huang emphasized the growing demand for AI computing power. He noted that AI inference now requires 100 times more computing resources compared to last year. New technologies, like the Blackwell GPU, offer significant performance boosts, being up to 40 times faster in some tasks. Nvidia has already shipped a large number of Blackwell GPUs, indicating a new cycle of demand in the market. Huang revealed plans for future products, including the Blackwell Ultra and Rubin, which are set to debut in the next few years. He discussed how the company is moving towards an annual product cycle, which could create tension but is necessary to drive innovation. Nvidia is also improving software to manage AI processes more efficiently. The new Dynamo inference management software promises significant performance gains for AI tasks. The company is expanding its networking capabilities to support these advancements across large data centers. Overall, Huang's keynote highlighted Nvidia's push to dominate the AI industry as it introduces new technologies and products. Analysts recognized that while other companies struggle to keep up, Nvidia is actively reshaping the landscape of computing.