NVIDIA's supply chain has 'massive improvement' in AI GPU deliveries, lower delivery times now

The delivery speed of NVIDIA AI GPU shipment has been "greatly accelerated," according to UBS analysts; previously, it was taking 8-11 months for deliveries, but now that's been reduced to just 3-4 months.

2

NVIDIA and TSMC (Taiwan Semiconductor Manufacturing Company) have greatly increased production capacities, solving the bottleneck issue of advanced CoWoS packaging technology. NVIDIA can now not only clear out its H100 AI GPU inventories, but it can begin pushing more of its beefed-up H200 AI GPU shipments, and upcoming next-gen B100 "Blackwell" AI GPUs that are coming this year.

Another factor in AI GPU shipments increasing from NVIDIA is that recent US export restrictions into China have freed up production capacity for other orders. UBS analysts also believe that the decreased delivery cycle implies that short-term growth of NVIDIA AI GPUs is "close to its peak," so continued growth may be weak... but NVIDIA is expecting its AI GPU shipments to increase 150% year-over-year. CEO Jensen Huang also said that the AI market could be worth $2 trillion over the next 5 years recently at the World Government Summit in Dubai.

NVIDIA currently holds a commanding 90% of the AI GPU market, with no signs of slowing down... H100 is selling like hotcakes, and the upcoming H200 is just beefed up and ready to serve its AI masters. NVIDIA's next-gen Blackwell GPU architecture is right around the corner, with the next-gen B100 AI GPU ready to smash records.