Intel and NVIDIA made big news tonight. The latter announced that it would invest US$5 billion in Intel and become one of the company's largest shareholders. This two-British collaboration has detonated the semiconductor industry. After the news was released, NVIDIA rose 3% before the market opened.Intel's price surged by 30% before the market opened. The industry is obviously very optimistic about the cooperation between the two companies.
A large number of semiconductor companies also benefited. ASML's stock price on the U.S. stock market rose 7.4%, Lam Research rose 4.6%, Applied Materials rose 6%, KLA rose 4.8%, Micron and Marvell both rose more than 2%, and Broadcom and Qualcomm's stock prices also rose modestly.
Most of these companies are semiconductor equipment companies. The industry expects that cooperation between the two parties will drive growth in the semiconductor industry, which is understandable.
But there are also victims of dual-British cooperation.AMD's stock price fell by 4.5%, TSMC's stock price fell by 2.7%, and ARM's stock price also fell by 4.5%.
It is not difficult to guess the reasons for the decline of these three companies. AMD is the biggest rival of NVIDIA and Intel. TSMC is also Intel's rival in the chip manufacturer. Although ARM focuses on the mobile market, it has also been grabbing the PC and server market in recent years and has made some achievements. Now Intel and NV are cooperating to create SoC processors integrating RTX GPU, which obviously also puts pressure on them.
Intel CEO Chen Liwu posted a photo with Jen-Hsun Huang. The two were smiling happily, and they are both Chinese elites in the U.S. semiconductor industry.
Of course, AMD CEO Su Zifeng is also a Chinese elite, and she is related to Jensen Huang, who is her cousin, although Su Zifeng has previously stated that she does not like media reports on these things.