Investment bank Morgan Stanley has estimated that an astonishing 77% of all globally produced silicon wafers dedicated to AI accelerators will be consumed by none other than NVIDIA. Often, investment research by large investment banks like Morgan Stanley includes information from the semiconductor supply chain, which is constantly expanding to meet NVIDIA's demands. When looking at wafer volume for AI accelerators, it is estimated that in 2024, NVIDIA captured nearly 51% of wafer consumption for its chips, more than half of all demand. With NVIDIA's volume projected to grow to 77%, this represents more than a 50% year-over-year increase, which is incredible for a company of NVIDIA's size. Right now, NVIDIA is phasing out its H100 accelerators in favor of Blackwell 100/200 and the upcoming 300 series of GPUs paired with Grace CPUs.

NVIDIA is accelerating its product deployment timeline and investing a lot in its internal research and development. Morgan Stanley also projects that NVIDIA will invest almost $16 billion in its R&D budget, enough to endure four to five years of development cycles running three design teams sequentially and still delivering new products on an 18-24 month cadence. The scale of this efficiency and development rivals everyone else in the industry. With all this praise, NVIDIA's Q4 revenue report is coming in exactly a week on February 26, so we have to see what its CEO, Jensen Huang, will deliver and show some estimates for the coming months.