Nvidia is currently facing challenges with its latest AI chips, leading to a reduction in orders from major clients like Microsoft, Amazon, Google, and Meta. The issues, primarily related to overheating and chip connectivity, have caused these clients to either delay their purchases or consider older AI chip models. This development has raised concerns about Nvidia's future revenue streams, as the delays could impact the company's financial performance in the coming quarters. The market has reacted to these concerns, with Nvidia's stock experiencing a decline as investors reassess the company's growth prospects.
The Graniteshares 2x Short NVDA Daily ETF (NVD) saw a rise of 2.44% to $29.35 by 5:00 PM on Monday, January 13.