Larry Ellison and Elon Musk recently implored Nvidia Corp. (NASDAQ:NVDA) CEO Jensen Huang for additional GPUs during a dinner at Nobu Palo Alto.
What Happened: During a meeting with analysts last week, Ellison, co-founder and CTO of Oracle Corp. (NYSE:ORCL), revealed that he and Tesla Inc. (NASDAQ:TSLA) CEO Musk “begged” Huang for more GPUs.
Don’t Miss:
Ellison humorously recounted, “Please take our money. By the way, I got dinner. No, no, take more of it. We need you to take more of our money please.”
The dinner’s outcome was positive, according to Ellison, who said, “It went ok. I mean, it worked.” Ellison, whose fortune is estimated at $206 billion, according to Forbes, has a history of anticipating technological shifts and positioning Oracle to benefit from them.
Trending: Elon Musk and Jeff Bezos are bullish on one city that could dethrone New York and become the new financial capital of the US. Investing in its booming real estate market has never been more accessible.
Oracle has maintained a strong relationship with Nvidia, which dominates the artificial intelligence chip market. The company is heavily investing in GPU technology for AI applications, with revenues up 7% to $13.3 billion in the first quarter of fiscal 2025.
Similarly, Tesla relies on Nvidia GPUs to train its neural networks for self-driving technology. Ellison emphasized the importance of being the first to build the most capable neural network, stating, “It’s a big deal.”
Trending: Unlock a $400 billion opportunity by investing in the future of EV infrastructure on this startup already valued at $50 million.
Why It Matters: The global supply of high-performance memory chips is expected to remain constrained throughout 2024, driven by the soaring demand for artificial intelligence technology. Leading memory chip suppliers like SK Hynix and Micron Technology Inc. are already facing shortages, with stock for 2025 nearly depleted.
See Also: The startup behind White Castle’s favorite Robot Fry Cook announces a next-generation fast food robot – Here’s how to get a share for under $5 today.
In May, Musk acknowledged and praised Nvidia’s impressive market cap, which had reached $2.55 trillion, making it the third most-valued global corporation.
In June, Musk justified his decision to divert Nvidia chips meant for Tesla to his other ventures, X and xAI, explaining that the existing factory space was already allocated to vehicle, battery, and cell production.
The demand for Nvidia’s RTX 4090 graphics cards has also surged, leading to a supply crisis exacerbated by U.S. sanctions on advanced chips to China.
Read Next:
Up Next: Transform your trading with Benzinga Edge’s one-of-a-kind market trade ideas and tools. Click now to access unique insights that can set you ahead in today’s competitive market.
Get the latest stock analysis from Benzinga?
This article Elon Musk And Oracle’s Larry Ellison ‘Begged’ Jensen Huang For Nvidia GPUs At A Dinner: ‘Please Take Our Money’ originally appeared on Benzinga.com
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Jessica Roberts is a seasoned business writer who deciphers the intricacies of the corporate world. With a focus on finance and entrepreneurship, she provides readers with valuable insights into market trends, startup innovations, and economic developments.
