The resignation of Nvidia's CEO heightened concerns about the future of the AI market

The resignation of Jensen Huang as CEO of Nvidia on November 12 heightened investor focus on the resilience of the artificial intelligence market. At the opening of trading, shares of the chip manufacturer fell by more than 10%, but ended the session down 4.34% at $166.19. CFO Colette Kress has been appointed as interim leader.

Why Huang's Departure Matters for AI Companies

Under Huang's leadership, Nvidia became one of the main suppliers of accelerators for AI data centers and built partnerships with model developers and cloud companies. The change in leadership raised questions about maintaining the pace of product development and funding of industry projects. Nvidia's board of directors stated that commitments to clients and product release plans should proceed without interruption.

How Much is Invested in AI Infrastructure

Goldman Sachs forecasts that global AI investments will exceed $1 trillion in 2026. This estimate of capital expenditures by American hyperscalers, around $800 billion, also includes expenses not directly related to AI. The scale of investments increases the significance of future revenues from computing services.

In an updated document for its IPO, Anthropic indicated approximately $900.9 billion in commitments for the purchase and lease of computing infrastructure through 2045. These are not expenses for a single year nor an evaluation of the company itself. Separately, Broadcom has agreed to provide Anthropic with up to $42 billion in funding for infrastructure projects related to its equipment.

Next Milestone – Nvidia's Report

Nvidia will present its financial results for the III quarter of the 2027 fiscal year on November 17, as planned. The report will show actual sales and profit amid massive client spending on AI infrastructure. However, neither the leadership change nor the high volume of investments alone prove the existence of a market bubble or the inevitability of a decline in tech stocks.