Nvidia dominates AI GPU market with 90% share, poised for a massive surge after export approval to China.
Amazon tightens grip on AI cloud computing with AWS holding 30% market share, driving record AI infrastructure demand.
The AI market is exploding. The UN projects growth from $189 billion in 2023 to nearly $5 trillion by 2033. For investors, two stocks stand out: Nvidia and Amazon. 
Nvidia (NVDA) remains the top AI play. It leads global GPU sales, critical for AI training and deployment. Its GPUs power complex models and serve millions worldwide. Nvidia commands around 90% of the AI GPU market, boasting industry-high gross margins. Shares look cheaper than they seem, trading at 39 times forward earnings amid strong growth outlook.
The U.S. government recently approved Nvidia’s new GPUs for export to China, a key market accounting for about 13% of sales. Wedbush analyst Dan Ives predicts Nvidia’s market cap could hit $5 trillion soon.
Image source: Getty Images.
Amazon (AMZN) stock is another top AI bet. AWS is the world’s largest cloud infrastructure provider with roughly 30% market share, nearly the size of its next two competitors combined. AI devs demand the best hardware and geo-diverse networks. Amazon’s scale lets it invest heavily, keeping AWS ahead.
With AI spending set to grow 20-30% annually, AWS is primed to expand revenue and market influence. Amazon trades at 37 times earnings. Its e-commerce business cools growth expectations, but AWS growth could ramp sharply, making shares a bargain in the long run.
Baird analyst Colin Sebastian told GeekWire:
“Companies are spending and they’re spending more, and they plan to spend even more,”
“We did a survey last month of 100 corporations, and 87% of them said they will increase spending on Gen AI over the next year — and a grand total of zero out of 100 said they would spend less.”
AI investing is heating up. Nvidia’s GPU dominance and Amazon’s cloud power make them must-watch stocks with massive growth window ahead.
