By Pia Singh
Publication Date: 2025-11-25 19:46:00
Competition for Nvidia’s crown in the artificial intelligence is ramping up, but analysts aren’t too worried — for now. Nvidia has been battered this month, losing more than 13%, as investors grow weary of elevated tech valuations. If that loss stands, it would mark the stock’s biggest monthly pullback since September 2022, when it plunged 20%. Shares fell another 4% on Tuesday after The Information reported, citing sources, that Meta Platforms was considering using Alphabet’s tensor processing units (TPUs) for its data centers. This comes as hyperscalers begin exploring alternatives to Nvidia’s graphics processing units (GPUs) . TPUs are application-specific chips, or ASICs, and often more power efficient compared to GPUs, which are general-purpose chips designed for a broader range of compute workloads. Analysts aren’t taking the news as an immediate hit to Nvidia, as the chipmaker is still the market leader with its GPUs. NVDA AVGO 1Y mountain Nvidia and Broadcom stock performances over the past year. Broadcom has jumped 13% this week, bringing its year-to-date gains to nearly 66%. That’s well above Nvidia’s 30% advance for 2025. “GPUs are clearly not going anywhere,” Bernstein analyst Stacy Rasgon wrote Tuesday. “Right now the overarching theme is of compute scarcity, and if anything this feels like an effort to secure more.” “To that end, we still think the question of ‘ASIC or GPU’ kind of misses the point. Right now the real question should really be ‘is the…
