NVIDIA's AI Hegemony: A Looming Decline?

NVIDIA, riding the wave of the AI boom and its GPU monopoly, has become the fastest-growing hardware company in history. However, its long-term dominance is facing serious challenges. Hyperscalers (Google, Microsoft, Amazon, and Meta) are aggressively consolidating AI demand, developing competitive chips, and building vertically integrated distributed systems, making it difficult for NVIDIA to supply. Simultaneously, the sheer scale of compute needs has hit limits on capex, power availability, and infrastructure development, leaving smaller cloud providers struggling. NVIDIA's revenue is increasingly reliant on a few large customers, who are actively developing alternatives, leaving NVIDIA's future uncertain.