Nvidia Emerges as AI’s Financial Backstop, Fueling Industry Growth
Nvidia has positioned itself as the de facto financier of artificial intelligence innovation, deploying $112 billion in free cash FLOW over six quarters to shape the sector's trajectory. The chipmaker's dual strategy of aggressive stock buybacks ($57 billion executed, $60 billion authorized) and strategic customer financing creates self-reinforcing demand for its hardware.
CoreWeave's meteoric rise from $16 million to $80 billion valuation exemplifies Nvidia's playbook. By providing early server access, equity investment, and a $6.3 billion capacity guarantee, Nvidia de-risked expansion for the AI cloud provider—a template now being replicated with Nscale.