Nvidia stock has fallen 17% from its record high on November 21st, entering correction territory and nearing a bear market. The decline followed Microsoft CEO Satya Nadella's remarks on the B2 podcast, where he indicated a shift in AI chip demand dynamics, noting that Microsoft is no longer chip supply-constrained. Microsoft is Nvidia's largest customer, and the statement has fueled concerns about potential slowing demand for Nvidia's GPUs. Nvidia’s Blackwell GPUs reportedly face a one-year backlog. Analysts see the current downturn as a temporary "digestion period." Nvidia shares have dropped 7% since Nadella’s comments.
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00:00It's Benzinga bringing Wall Street to Main Street.
00:02NVIDIA's stock has fallen 17% from its record high on November 21st,
00:06entering correction territory and nearing a bear market.
00:10The decline followed Microsoft CEO Satya Nadella's remarks on the B2 podcast,
00:15where he indicated a shift in AI chip demand dynamics, noting that Microsoft is no longer
00:19chip supply constrained. Microsoft is NVIDIA's largest customer, and his statement has fueled
00:24concerns about potential slowing demand for NVIDIA's GPUs. NVIDIA's Blackwell GPUs reportedly
00:31face a one-year backlog. Analysts see the current downturn as a temporary digested period.
00:37NVIDIA's shares have dropped 7% since Nadella's comments.