This photo taken in Krakow, Poland, on April 10, 2023, shows a microchip and the Nvidia logo displayed on the phone's screen.
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Shares of server components supplier Super Micro Computer rose 11.42% in after-hours trading on Wednesday. Dutch chip equipment maker ASML, which supplies TSMC lithography machines critical to chipmaking, jumped 2.7% in the US during after-hours trading.
Following Nvidia's earnings report, shares of rivals Advanced Micro Devices and SoftBank-backed British chip designer Arm Holdings rose 4.08% and 7.87%, respectively, in after-hours trading.
Nvidia, which designs AI chips specifically for the likes of Amazon, Microsoft and Google, has seen demand for its GPUs soar thanks to the AI boom.
OpenAI's ChatGPT, which gained massive popularity around the world in November 2022 for its ability to generate human-like responses to user prompts, is being trained and running on thousands of Nvidia GPUs. Nvidia shares rose 9% in extended trading.
Shares of South Korean memory chip makers Samsung Electronics and SK Hynix rose 0.41% and 3.22%, respectively, on Thursday. Large language models like ChatGPT rely on high-performance memory chips to remember details from previous conversations and user preferences in order to generate human-like responses.
Shares of other Taiwanese semiconductor companies Orient Semiconductor Electronics and MediaTek rose 2.94% and 1.53%, respectively, on Thursday.
Intel, Broadcom and Qualcomm, three US chipmakers, saw stock price increases during extended trading on Wednesday, rising 1.38%, 2.79% and 1.80%, respectively.
“Basically, conditions are excellent for continued growth” in 2025 and beyond, Nvidia CEO Jensen Huang told analysts Wednesday on an earnings call. He added that demand for Nvidia GPUs will remain high due to generative AI and the industry-wide shift away from central processors to Nvidia-made accelerators.
“If I were to put a stake in the ground in terms of the conversation, whether it's market share or profit margins, I think they would surprise people,” said Gene Munster, managing partner of Deepwater Asset. The administration told CNBC's “Street Signs Asia” on Thursday.
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