NVDA Sell-Off Analysis: Amir Yazdan's Comments on AI Hardware Demand & Market Debate

The recent NVDA sell-off (7.8% drop on Nov20, 5.86% down month-over-month [1]) has sparked debate. Amir Yazdan (Google DeepMind TPU engineer) asserts the market misunderstands AI hardware demand [8], while Reddit users raise bearish points: macroeconomic slowdown reducing AI service demand (score74), Yazdan’s bias due to professional incentives (score58), investor herd mentality (score171), and long-term competition risks (score2). Hidden B2B demand (e.g., fraud detection saving $500k/month) exists but has low support (score3). Market data shows NVDA’s data center revenue is 88.3% of total [2], with a P/E ratio of44.21x (vs sector average ~25x [2]).

Cross-domain connections include: investor ignorance (score171) aligning with Yazdan’s claim; hidden B2B demand (low score) suggesting unrecognized value; competition from Google TPUs (Meta talks [6]) and Chinese chipmakers (Moore Threads [7]) as long-term risks.

: Macro slowdown reducing AI spending; competition from Google/China; high valuation (44x P/E [2]); accounting allegations [5].
: Hidden B2B demand; data center dominance (88.3% revenue [2]); 73.4% analyst buy ratings with 38.7% upside [2].

NVDA’s recent price drops, data center revenue share, valuation metrics, mixed Reddit debate, and Yazdan’s comments highlight conflicting views on AI hardware demand. Investors face a balance of buy signals and risk factors.