Why Oppenheimer Is Excited About Nvidia's Potential Gains From Sovereign AI Demand
Nvidia could be set to gain from growing demand for sovereign AI, Oppenheimer analysts said, after CEO Jensen Huang toured Europe last week and announced new deals and partnerships.
The analysts estimated the total addressable global sovereign AI market could be $1.5 trillion, including $120 billion in Europe.
Shares of Nvidia have added roughly a third of their value since the end of April.Nvidia (NVDA) could be set to gain from growing demand for sovereign AI, Oppenheimer analysts said, after CEO Jensen Huang toured Europe last week and announced new deals and partnerships.
Nvidia 'has been on the road meeting with world leaders to help sovereign nations build-out AI infrastructure,' Oppenheimer wrote in a note to clients Sunday, estimating the total addressable global sovereign AI market could be a whopping $1.5 trillion, including $120 billion in Europe.
On Friday, Nvidia announced a partnership with Deutsche Telekom advancing Germany's sovereign AI that the chipmaker said 'will enable Europe's industrial leaders to accelerate manufacturing applications including design, engineering, simulation, digital twins and robotics.'
Huang's stop in Germany followed a keynote address at the VivaTech conference in Paris, which saw a sovereign AI partnership with the European Broadcasting Union announced. Huang also stopped in the United Kingdom for London Tech Week.
Shares of Nvidia rose about 2% Monday to near $145, closing in on its record close of $149.41 in January. The stock has added roughly a third of its value since the end of April.
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