09Mar
it all reflecting the outlook for growing the size of the economic and stock market pie, driven by the technology revolution and History would suggest the incredible and overwhelming economic force which symbolically has a remarkable power of technological advancement.
Microsoft however, is a $3 trillion company which actually added a trillion-dollars in market value inside of two years.Nvidia is initially a $2 trillion company and it added a trillion-dollars in market value inside of just seven months.And it looks like that record might be shattered on the next trillion-dollars.
However,inprospect to the introduction and Generative AI might be the most productivity enhancing technological advancement of our lifetime. Hot productivity gains promote wage growth, which is needed to reset wages to the increased level of prices (which restores quality of life). And it can fuel wage growth without stoking inflation. And as Jerome Powell presented back in 2016, “Productivity growth is a driver of the long-term potential growth rate of the economy”.
This brings us back to the pivotal point of enlightenment discussed over the past several years regarding to Potential growth and sustainable productivity without sacrificing quality.
However,The absolute value of the government debt doesn't mean much as expert usually says; But The debt relative to the size of the economy is what matters to Overcome Great Financial Crisis which has to be inflated away,and its comes through hot nominal growth to improve on sustainable Productivity growth and Socio-Economic development.
Nvidia's Omniverse technology will power it, and it will reshape $100 trillion worth of global industry.On that note, last month Apple debuted the Apple Vision Pro. Here's how they describe the product: "Apple Vision Pro seamlessly blends digital content with your physical space."
The CEO of Siemens, when he presented earlier this year at the Computer and Electronics Show (CES) in Las Vegas, called 2024 a "turning point" where real and digital worlds will converge. And he actually introduced the "Industrial Metaverse." In his words, this is generative AI making reality better and building it faster and more efficiently, by using the virtual world.
The digital twin allows builders/developers/engineers to see the products perform exponentially (as a digital twin), have fully immersive interaction with the product, before and while building it.
Keep in mind, not only does the opportunity ahead of Nvidia make it the most important company in the world, but the numbers they are putting up right now, put them in a class of their own (maybe in history).
And for the perspective on the durability/credibility of this growth, keep in mind the biggest, most powerful technology companies in the world (Meta, Google, Amazon, Microsoft) are not only making record-level investments in building AI infrastructure, but they are completely transforming their companies to focus on generative AI.
And it's clear that we are in the early stages of a new industrial revolution.
