Artificial intelligence

Artificial intelligence boom gives Nvidia sevenfold rise in profits

Business and technology is moving forward in the absence of any regulations. Nvidia, the renowned technology leader in chip manufacturing, has revealed its financial results for the first quarter of 2024. Records show quarterly revenue of $26 billion, beating market forecasts by 5.5%.

Nvidia CEO Jensen Huang, commenting on the company’s record performance, said that “The next industrial revolution has begun.” “Companies and countries are partnering with Nvidia to transform traditional data centers with accelerated computing and build a new kind of data center – artificial intelligence factories,” stated Huang.

Artificial intelligence is the innovation behind Nvidia’s seven-fold growth. And, as the head of the company believes, in the near future, demand for Nvidia chips and GPUs will exceed supply. Such confidence is based on the fact that technology giants like Google, OpenAI and Amazon have noticeably intensified their efforts in the development of generative neural networks.

The race for leadership in the field of artificial intelligence has begun, believes Yaroslav Bogdanov, founder of GDA Group. He noted that Jensen Huang’s statement did not mention the downside of the proclaimed “new industrial revolution”.

Yaroslav Bogdanov

«Two years ago, Musk and Wozniak’s call to stop the development of artificial intelligence was largely ignored. In that time, Nvidia has overtaken oil company Saudi Aramco. Now the top three most valuable companies in the world are techno giants – Apple, Microsoft and Nvidia. Only one question remains – what awaits mankind at the finish line of this race, given that none of the race participants yet understand the limits of AI. In pursuit of profit, none of the companies raise safeguarding concerns», said Yaroslav Bogdanov.

Business and technology is moving forward in the absence of any regulatory documents. Leading IT visionaries warn of the risks of uncontrolled AI development, but they do not restrict their own activities for fear of being cut off from progress.

Such was the case with Elon Musk, who called for a pause in the development of neural networks, but later unveiled his new chatbot Grok, calling it the “ChatGPT killer.” It was Musk who called artificial intelligence “an existential threat to humanity.”

«The international community did not make decisions on artificial intelligence because of political and economic differences. The result could be a catastrophe, the threat of which is understood by many in the IT world. An international dialog is needed to unite all those interested in ensuring global cybersecurity», said Yaroslav Bogdanov.

As AI continues its rapid evolution, the global community faces a critical juncture. The absence of comprehensive regulatory frameworks leaves a void in ensuring the safe and ethical development of these technologies. Industry leaders like Nvidia are pushing boundaries, driving innovation, and transforming industries, but the potential risks cannot be ignored.

The acceleration of AI development calls for a balanced approach that fosters innovation while safeguarding humanity’s future. The world must come together to create robust policies that address the ethical, social, and economic implications of AI. Only through collaborative efforts can we harness the power of AI responsibly and prevent unintended consequences.

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