Why NVIDIA is suddenly worth $3 Trillion

Nvidia, unpacked.
Reaction vid: / 101845366
More info and sources at bottom.
Find me elsewhere:
Instagram: / philedwardsinc
Twitter: / philedwardsinc
Patreon: / philedwardsinc
Where I get my music (Free trial affiliate link):
share.epidemicsound.com/olkrqv
My camera, as of February 2022 (affiliate link):
amzn.to/3HDcWVz
My main lens: amzn.to/3IteXEK
My main light: amzn.to/3pjO0M8
My main light accessory: amzn.to/3M6eL0j
TSMC photos via "Taiwan Semiconductor Manufacturing Co., Ltd.".
© Raimond Spekking / CC BY-SA 4.0 (via Wikimedia Commons)
Recommend of course is Nvidia and the Nvidia GTC, which is a 2 hour trip:
• GTC March 2024 Keynote...
This video really really really stands on the shoulders of @AcquiredFM . They have about 10 hours of NVidia stuff that you'll love, including an interview with Jensen. You can listen to it on Podcast platforms as well.
Check out Stratechery too! stratechery.com/2024/nvidia-w...
Here’s that Reuters article: www.reuters.com/technology/be...
Once again, Harvard case studies (one is actually from Stanford I think) saved the day. These are just helpful for a grounding and some of the numbers and stats I used in the video. 9 bucks each though! That’s why it’s business school I guess.
store.hbr.org/product/taiwan-...
store.hbr.org/product/nvidia-...
Chip chopsticks haha (affiliate link, this is how I make my millions): amzn.to/3vS0LnH
NVidia obviously has their annual reports on their site, but it’s easiest to get them and read here:
archive.org/details/01.-nvidi...

[@PhilEdwardsInc]

My typical spiel was cut off by Circle Glasses Phil (the one true Phil who controls them all), but you can find the Patreon reaction here: www.patreon.com/posts/reaction-video-2-101845366 Full sources in description, but biggest applause goes to Acquired: kzbin.info You'll find 10 hours of NVidia stuff there, and it really helped ground this vid. Great place to become Nvidia obsessed. Thanks for watching.

[@mohammadrahimjamshidi79]

6- AI and “social existence, social experience, social consciousness”. @jamshidi_rahim

[@starmanxvi]

For someone who's been into computers for years, Nvidia has always been a company I've been aware of. I never thought of how weird it must be for people who had never heard of it until it became worth over a trillion dollars out of nowhere. One of my family members, who doesn't know much about computers, thought it was so cool that I had an RTX card in my PC simply because it was Nvidia.

[@PhilEdwardsInc]

my journey was coveting those graphics cards on video game magazines in the 90s, forgetting about it for a while except when i started 3d graphics, and then waking up to find it worth $2T.

[@beetooex]

Do gamers still hate Nvidia for their price gouging on consumer cards? I stopped paying attention years ago.

[@BurritoKingdom]

​@@beetooexYes they still do. But AMD and Intel GPUs are missing features/not as good, so they're forced to buy nVidia

[@All.Natural.Dirt.]

​@@beetooexof course, I would've been trashed if I posted my 4070ti purchase when I got it but I was upgrading from a 960 so I really didn't care

[@JBrinx18]

​@@beetooexGamers aren't forced, but professionals are. CUDA is overwhelmingly dominant in the professional space, though AMD is working to catch up with ROCm and its professional GPUs are significantly cheaper

[@onemorechris]

that leather jacket. you know he had a team of people that picked this for him.

[@PhilEdwardsInc]

he says his wife bought it for him! there's a whole mythology...

[@onemorechris]

@@PhilEdwardsInc oh no, the PR department and the stylists share an office! 🤣. rabbit hole opened-afternoon ruined :)

[@PhilEdwardsInc]

@@onemorechris I am so split on what I think is true....

[@aidenhall8593]

Nah he just saw todd howard

[@onemorechris]

@@PhilEdwardsInc i noticed it not the same jacket so unless his wife bought him a set of jackets…or he gets the same gift every birthday…🧐🕵️

[@yondie491]

Still remember the day nVidia bought 3dfx. So very world-changing to my early-college-years brain.

[@dekkard]

And 99 % of the people worldwide don't even know what 3dfx is! But it was a gamechanger!!! 😄

[@nottucks]

You see, I think that just shows how they’ve always been abusing the market for their own gain…

[@yondie491]

@@nottucks what is? Buying competitors? Cuz that's... standard free market behavior Or... Do you mean "them acting like this isn't new"?

[@npc239]

NVIDIA also cashed in big time on the bitcoin boom, I think this deserves more than just a footnote. Anyone remember the graphics card shortage, when everyone was into mining crypto?

[@PhilEdwardsInc]

yeah i was pretty split on how to portray it - ultimately, the fact that nvidia tried to dissuade and regulate crypto miners made me think that it wasn't central to their mission (even though they did eventually sell crypto-focused gear). the acquired pod does a good job at kinda contextualize this.

[@jellorelic]

@@PhilEdwardsInc I think your very-high-level take here is pretty accurate, as someone who's watched the 3D industry since it was born. The crypto-boom wasn't a BAD thing for them, put a fair amount of cash in their reserves. And it really hurt us in the gaming space due to the supply constraints which made it feel big in the consumer facing market, ultimately it's pretty damn small potatoes compared to the AI driven sales of the 10-50-100k$ enterprise market and the resulting 2 trillion dollar market valuation.

[@12pentaborane]

​@@jellorelic Basically a shovel retailer in back to back gold rushes.

[@MayorMcC666]

I appreciate the version of you that is incapable of putting the carafe back in the coffee maker

[@PhilEdwardsInc]

he's still there

[@misterscottintheway]

Plot twist that's the human one

[@AnonymousFreakYT]

I thought he was going to accidentally shatter the carafe.

[@charlesmoxey8122]

keep tryin buddy. you'll get there

[@DonutCrazyYT]

You are rapidly becoming one of the best presenters on KZbin. Another great video.

[@marjoe32]

I have regret i didnt invest 5k in nvida 5 years ago 😔 😪

[@robertmcbride3032]

Translating one type of nerd to the nerd populous is such a nerdy thing to do... And I appreciate the heck out of it

[@blender_tom]

0:22 that camera shake as you sat down was brilliant!

[@PhilEdwardsInc]

thank you, it took some planning and post work, but it was worth it (I will never admit that I just fail to sandbag my tripod).

[@samiyam17]

As an electrical engineer, this is one of the best explanations of Nvidia I’ve ever seen- amazing job!

[@tamask001]

Asianometry+Phil = the crossover I didn't ask for, but desperately needed!

[@PhilEdwardsInc]

such an epic channel. I did not know about it before this vid but it definitely was a reason to have this sort of high level approach since Asianometry is so good at the detailed stuff. The TSMC videos are really nuts...so detailed.

[@dodaexploda]

@@PhilEdwardsInc seconding (thirding?) the Asianometry channel. Everything you wanted to know about making computer chips and more.

[@FirestormX9]

@@PhilEdwardsInc duuude that channel itself is an entire academic course in some ways. There's also TechTechPotato with Dr Ian Cutress for some occasional in depth stuff.

[@kelownatechkid]

Did not expect that crossover! Phil is killing it with these great videos

[@itsonlybrad2278]

Phil I gotta say the whole meta parts of the videos that has become your style is amazing and I hope you never stop because I love it

[@rocko44444444]

+1

[@brokenglassshimmerlikestar3407]

My first PC in the 90s had NVIDIA graphic chip. They also gave buyers demo games to demonstrate their 3D game capacity. My cousin and I played Future Cop all the time. Fot the 90s it was incredible!

[@0o0ification]

Great topic! A dive into the benefits of specialization, when paired with cooperative-competition among other industry specialists, to push technology further and further. I hope this VOD is a home run, great current events information

[@gustavohernandeza.890]

0:18 the remake of Multiplicity I never knew I wanted so badly

[@RoxYgen03]

Brilliant, interesting and fun! You’re fantastic Phil! Thank you for all your hard work!

[@alsifjlasieflooo]

I learned a lot, well done video!

[@180_S]

That man's personality is that leather jacket

[@PhilEdwardsInc]

i have a whole conspiracy theory about this.

[@180_S]

​@@PhilEdwardsInc would love to hear more

[@PhilEdwardsInc]

@@180_S well, just to start with, it's this core element of his personality (with an explanation tied to his wife) but the older GTCs actually have him dressing in totally normal polo shirts...

[@180_S]

@@PhilEdwardsInc I bet there is a not insubstantial correlation between nvdia's stock value and when the leather jacket was rolled out.

[@c97f]

That jacket IS NVIDIA. It has him under its control. He's trapped in the jacket.

[@theftking]

Jensen Huang is so weird. That said, I bought Nvidia stock in the long long ago, so it's not like I'm complaining.

[@PhilEdwardsInc]

I had such an emotional journey around him. I ended up thinking he's kinda awesome. That said, I did not trot out the leather jacket for this vid...

[@commandersanders5436]

great video keep it up Phil!

[@lunchdotbox]

Yet they still can’t make good Linux drivers…

[@yaniv_akrish]

"Nvidia Fuck You!" - Linus Torvalds (at most from) 2012.

[@EvenFilms]

Great job, Phil! You took a topic that has made me glaze over in the past and made it digestible. And I loved the surreal ending.

[@Famouslastplace]

12:15 That laugh reminds me of the laughing without smiling trend

[@swauce507]

great video, music hooks you from the start

[@nicholaswood3250]

I love how living in south bay, there are places like the Nvidea Dennys, where it’s like, “oh yeah, Steve Wozniak goes to this one BBQ joint all the time”. It’s the Bay Area version of LA people having weird encounters with celebrities all the time.

[@MatthewMS.]

Wow this video is fantastic. I am a 5 year fan boy and investor of Nvidia but this actually taught me new stuff. Great thx

[@willychilton]

too bad Steve Jobs never had a mustache

[@PhilEdwardsInc]

his greatest flaw

[@looooool_guy]

I work in the industry and know Nvidia's story pretty well. Have to commend you for breaking down the history and industry in a very approachable way. You clearly did your research. The discussion of fabless at the beginning was especially good and something people don't appreciate about how the industry has changed compared to decades ago. Also the introduction of CUDA from the early days before DL became a thing.

[@paleodan]

The clone bit needs a big wink to camera with a chime sound effect.

[@JaimeRiveraTV]

What a fascinating video, Phil.

[@CyberwizardProductions]

the world currently runs on nvidia - you want to do anything with AI, you're using nvidia GPUs

[@youcefhamdoud5215]

Honestly learned a lot from this video. Thanks

[@DanielSmith-lv5ed]

"Magno-electritism" "Artificial intelligence" "Mcgriddles" "Infered laser thermometers"

[@teamcoltra]

Can we talk about how much your clones reminds me of some modern Twin Peaks meets i,Robot? I need the next episode already.

[@VAM_Physics_and_Engineering]

is the robot glitching or cheersing a fellow robot on a great video at the end? (coffee maker) Either way it makes sense. Keep it up!

[@PhilEdwardsInc]

haha perhaps both

[@planesrift]

They sell shovels.

[@PhilEdwardsInc]

haha, i had briefly imagined a whole levi's jeans digression for this on a similar theme.

[@leeroyjenkins0]

Exactly, they sell shovels and everyone is treating them like nobody else will ever sell shovels.. but shovels aren't that difficult to make, and once everyone has a shovel you definitely don't keep selling as many shovels...

[@constantin-adrianprisecari5379]

those shovels will be in everything you do... self driving, augmented reality, autonomous robots, big data science, financials, management, spitting out news articles, chat bots, medicine and so on. remember when watches used to just tell time?

[@loveormoney786]

@@leeroyjenkins0The have the most with CUDA with ecosystem. No one in the near future can catch up to them. By then they will iterate faster and can make a case that they have a monopoly.

[@Che1ito]

I used to work in a FAB and can confirm that the commercial is pretty accurate to how a fab is run.

[@Tengokujin]

Asianometry's video about LSI Logic might also shed some light about custom chip-making.

[@Garbimba1900]

Smashing the Like button and commenting!

[@coopeeeee]

I (try to afford to) study engineering technology, explaining car parts is hard enough. 3 words, so simple so accurate. Thanks g

[@squfucs]

your production quality is bonkers

[@hatpeach1]

Smashed. Thank you.

[@dodaexploda]

I love the video Phil. We might need to do an intervention on how you eat chips though.

[@PhilEdwardsInc]

i don't eat chips like that but if i ever get cheetos i will be tempted...

[@dodaexploda]

@@PhilEdwardsInc part of the fun of cheetos is getting your fingers covered in bright orange cheesy dust. Then being in a constant state of potential destruction if you ever touch anything. With the glorious finish of licking the fingers off.

[@ryanortega1511]

My parents harangue me for licking my fingers.

[@dodaexploda]

@@ryanortega1511 they are wrong. Licking the finger is the proper eitquette.

[@ryanortega1511]

I was told it’s because they’re susceptible to germs. My mother is a doctor, so she has it on some authority.

[@raniarovich]

What is the music you used in the intro?? It made me feel like I was part of a dune inspired cyber punk universe wtf

[@matthewjanzen4837]

Phil entering his WheezyWaiter-esque cloning arc

[@yorktown99]

So, a lot of this seems like the best sort of success story, an accidental one. In the late 1970s, IBM began experimenting with Reduced Instruction Set Computers, or RISC. The theory was, by making the machine-code for the internal procedures on a CPU simpler (as opposed to specialized), the chip architecture can be optimized to run more computations faster (the assembler/compiler would then transform a single more complicated instruction into several smaller but faster to compute instructions). Companies like Silicon Graphics made their name in constructing powerful new computers for high-end clients, only to gradually be edged out by cheaper personal computers that were becoming faster. Originally, the graphics card was just a specialized bit of hardware designed to (very quickly) compute a lot of similar data all at once. What companies like NVIDIA stumbled across was a new way to think about computing altogether: simultaneous computation of many similarly structured problems. Video game graphics, cryptocurrency blockchains, and artificial intelligence all thrive on these sort of distributed, parallel computation systems. It opens up a new era in computer science.

[@amochswohntet99]

The only stock I’ve ever called to be one to explode in value is Nvidia. Back in ~2016 I told a close friend who was very into trading that he needs to go all in with Nvidia. It wasn’t just the obvious thing that they would supply so much of the worlds AI chips, but the market analysts also agreed unanimously that it’s going to see spectacular growth. The next couple of years went by and it did indeed happen. My friend later tells me, “man, I should have listened to you” 😂

[@PhilEdwardsInc]

ugh i wish we were friends. there were some old marc andreesen tweets i ran into from around that time - made me feel pretty silly for not betting on them (though, to be fair, I still have no idea if it'll work out for them).

[@brockmckelvey7327]

Okay, so those are the 2 guys one would theoretically need to stop if they went back in time to halt the AI emergence at the source. Got it.

[@PhilEdwardsInc]

unfortunately john conner loves geforce

[@ryanortega1511]

It’s Connor. You were probably thinking about the Conners.

[@amamdawhatever]

Best video yet!

[@OCDRex11]

My man, your vids are getting better and better. Love them! I really need to watch that conference and listen to this all. I am not ignorant to this all, but I am old enough now to have lived through the 90's when graphics cards hit the seen, and I am not in that mix anymore. I intentionally stay away from it as I am becoming my Father and yelling at kids for walking on my grass. Yes, I am 45 years old, lol.

[@PaulCuenin]

Great video thanks

[@benmcreynolds8581]

Hey Phil, sorta related to this Tech focused video. Have you seen anything about the Lost Disney's Sodium Vapor wave technique? And how it was FINALLY rediscovered! Corridor Crew just released a video covering the work they did & I think you could make an amazing video on the topic of how impactful this could be in the movie, media world. We might finally start to see movies that feel and look much better compared to the bland, disconnected, fake green screen CGI effects in most modern movies.. It's actually such a trip once you learn about this stuff

[@PhilEdwardsInc]

haha yes i inhaled that video! amazing they got paul debevec too - when i was doing vfx stories, i quickly learned of his stature. great video

[@Ogami79]

WTF is that musk guy rich? His cars dont sell even an 18th as much as Toyotas!

[@jozopako]

And today NVIDIA is same as EA or Activision, hated on world level. And for a good reason.

[@ericaroundtheworld]

Why during the downside it dropped one of the hardest and quickly climbing back up

[@FDiOfi]

Do you also watch Ryan George? I get that vibe when you intruduced your clones there😆.

[@sarahwatts7152]

Just the idea that "math!" is a punchline

[@herzogsbuick]

all of your effort, research and charm -- just to remind me that i haven't had any Utz since i moved to Alaska?

[@PhilEdwardsInc]

they were really good.

[@sonicwaveinfinitymiddwelle8555]

I remember doing social studies stocks test on 8th grade and put 20% of imaginary 1000 euros (which is ~1050 dollars) into nvidia right before the summer break and seeing how much it has grown really puts a smile on my face. Even though I didn't use real money, just test calculation I feel like I won big money.

[@room34]

Fourth grade me's jaw dropped at the handful of four-color pens. 6:18

[@classic.cameras]

I love my NVIDIA video card. Never done me wrong.

[@Zereniti77]

I still remember the NVIDIA vs 3Dfx flame-wars...

[@cyrilio]

I'm sure the James Hoffman AI can help with the coffee making issue at 12:06

[@PhilEdwardsInc]

maybe needs the french press training as well

[@pfann1709]

Crazy how we’re approaching a time where the history of more and more things can be found merely by looking at the videos uploaded years ago on KZbin.

[@PhilEdwardsInc]

yes i definitely felt that with the cuda videos! they are among the first on the channel, but they're there!

[@StinkyPeteThePirate]

Wow Phil has grown to an immense size, he is now bigger than a refrigerator.

[@PhilEdwardsInc]

💪

[@rPenek]

Bro finaly eaten the CHIP!!!

[@ikeyshuster9801]

Great video

[@rustinpierce7269]

When got into investing during the pandemic i didnt have any knowledge about the stock market I decided to pick whats going to be in high demand in the future and i thought about A.I. i just googled what would be a good A.I. stocks and Nvidia came up I dollar cost average and didnt imagine this stock would blow up in a just of couple of years.

[@c187rocks]

I'm a designer who made the switch to AI a few years ago, and I can not stress enough how important CUDA has been in both parts of my life.

[@chrisstricker2283]

The ending is just KZbin gold 😂

[@onemorechris]

i didn’t realise how quickly i clicked this video! anyone know what the microscope Phil uses with the crisp/chip?

[@PhilEdwardsInc]

a great purchase: amzn.to/3U6IqfU

[@onemorechris]

@@PhilEdwardsInc epic and so cheap! 👌👌

[@onemorechris]

great video too x

[@smartduck904]

My stock is still going down for them day after day 😂😅

[@krysnb84]

Very interesting, I didn’t know much about this company - and love the clone side story 😂

[@adreasperpirakis208]

Nice video which that means that the drivers is the operating system for Ai, and what is better than a operation system, a trained ai model which uses and upgrades the operation system for input output.

[@travisrassel9978]

Skynet just might be nvidia in disguise.

[@Michael-ty2uo]

I invested in various AI stocks a month ago with around 75% of the money going to Nvidia and literally in just 1 month that same portfolio is up 10% in returns

[@danlscan]

Banger!

[@SpaceSwimmer69]

This video to me is like: "Did you know, that this red sphere is called an apple and is actually very sweet and tasty?"

[@mimikyoo]

Do you recommend the finger chip chopsticks?

[@PhilEdwardsInc]

i will need years to evaluate them fully

[@CDragonG]

raise ur volume or lower the music's volume

[@PhilEdwardsInc]

noted!

[@axelprino]

It never occurred to me that the general public wasn't particularly aware of Nvidia. I mean, anyone who has ever built a PC in the last 20 years had to go down the rabbit hole of deciding between a GeForce or Radeon GPU and researching which model was the better bang for your buck at that particular point in time. I often forget that there's people out there that aren't into PC's and/or gaming.

[@PhilEdwardsInc]

Yeah I was sort of a version of this myself - coveted them all totally in the 90s as a kid, fell away, and then came back in 2024 to be like - wait, why is the thing that made Starsiege Tribes look cool suddenly worth 2 trillion!?!?

[@boneyconey]

got distracted, and came back to the video at 12:15. lol.

[@PhilEdwardsInc]

now it will haunt your dreams

[@rayhans7887]

Ans: Bubble Saved you a lot of time

[@utubby3730]

Didnt need to watch it, it is ofc a bubble. If thats what was shown in the video, then the author is correct.

[@curie1420]

if only the engineers figured out their power connector, nvidia wouldve been fine

[@esgee3829]

can you imagine a world where 'how tall is phil edwards' replaces 'how tall is caitlin clark' as a top autocomplete suggestion? i can

[@PhilEdwardsInc]

watch out 6'0, 5'11 is coming for ya

[@kelownatechkid]

They're just good at locking in users with shiny proprietary features, whereas their competitors fail to do the same. Where else would I get 3D Vision support but on Nvidia? Even when they deprecate features like the aforementioned 3D Vision, it's still hanging around in the professional driver. CUDA isn't even that special, but the platform lock-in definitely is.

[@CatnamedMittens]

It's simple. Loose monetary conditions, a weak federal reserve and an AI bubble are good ways to be overvalued.

[@icuz]

It will still go up

[@PhilEdwardsInc]

i think this is why i'm not an investor because i can totally see it going either way

[@paleoph6168]

"Robert, it goes down." "It don't. It don't go down."

[@utubby3730]

Its an absolute bubble.

[@jonathandevries2828]

The return of circle glasses phil?

[@PhilEdwardsInc]

THE RETURN!

[@drewc9488]

I tell my friends and family when you upload a new vid. I have a mini celebration. I get so excited

[@PhilEdwardsInc]

haha thank ya!

[@hazey299]

Music is alittle loud in the beginning

[@PhilEdwardsInc]

noted!

[@Dunkskins]

First graphics card I had in early 2000 was a Nvidia Riva TNT2 32 mb ultra, was leaps and bounds ahead at the time. Their 3000 series cards were good, gaming is such a small percentage of their business now they're neglecting it sad times.

[@mizukun9037]

I jus hacked the 1080 ti to give me no restrictions because the latest drivers say sum shit like to safe guard the old models without destroying itself which is absurd anyway it wasn't hacking but it sounds cool now my card works 10x better but it does get super hot.. but meh they are meant to do that

[@imboredyt743]

also because I just dropped 900 bucks for a "mid range" 4070ti super

[@VladimirPran]

How tall is Caitlin Clark?? How did Elvis die??

[@PhilEdwardsInc]

autocomplete snapshot, april 6, 2024

[@peterknutsen3070]

Why CUDA moat? That was never explained?

[@SirThanksalott]

What's Nvidia worth without TSMC?

[@PhilEdwardsInc]

i'm sure they could pivot but...it seems hard!

[@mysaturnlcs]

Borderline chipmunk sounding for vocals, but I'm definitely digging the speed up beat

[@bug5654]

3:13 People overcoming decades of education teaching that math is bad cheer at the word, "math," for the first time.