Elon Musk’s expanding AI empire is prompting investors to look closely at suppliers he relies on, particularly as Nvidia expects revenue growth of around 70% in the upcoming fiscal year, despite projected declines in gross margins. This indicates strong demand for Nvidia’s GPUs, highlighting supply chain bottlenecks as Nvidia struggles to secure necessary components. The deadline for a free InvestorPlace workshop discussing these developments is set for Wednesday, September 9, at 8 p.m. ET, where insights on Musk’s indispensable suppliers will be shared.
Nvidia’s report released on August 26 underscores the critical need for specialized memory and networking components, with companies like Micron Technology and Lumentum Holdings becoming increasingly valuable as AI infrastructure expands. Just as historical dependencies on strategic resources like quinine shaped military outcomes, current AI advancements showcase how bottlenecks in supply chains can shift market power, creating investment opportunities in the companies that control those resources.
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