Nvidia stock falls behind as big tech rivals enter its territory
Nvidia's stock has fallen 7% since its record high on April 27 as investors worry about the company's grip on the AI processor market being threatened by rivals. Nvidia's share of the AI accelerator market remained at 86% in 2025, but the threat from competitors is raising doubts about its long-term growth.
Nvidia's stock has dropped 7% since April 27, underperforming the Philadelphia semiconductor index, which is up 9%. The decline is attributed to concerns that Nvidia's dominance in AI chips is being challenged by other chipmakers and its biggest customers. Rivals such as Alphabet, Amazon, and Intel are making headway in the AI chip market. Alphabet's tensor processing unit chips and Amazon's Trainium line have garnered significant revenue commitments. Nvidia's share of the AI accelerator market remained at 86% in 2025, but investors are worried about its long-term growth. Nvidia is set to report its first-quarter earnings on May 20, with projected revenue growth of 70% in its current fiscal year.
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