Kapanlagi.com - The name Jensen Huang, CEO and founder of Nvidia, has recently captured the world's attention after suffering a massive loss in the stock market. On January 27, 2025, his wealth was reported to have shrunk by US$ 108 billion, or about Rp 1.746 trillion.
What happened? It all started with a massive sell-off in the stock market triggered by the emergence of the Chinese technology company, DeepSeek. This company successfully launched an AI chatbot that became a formidable competitor to the AI-based technology innovations that have been developed in Silicon Valley. As a result, the stocks of tech companies, including Nvidia, experienced a significant decline.
In this shocking moment, Huang experienced a wealth drop of US$ 20.1 billion, equivalent to about Rp 325 trillion, which is 20% of his total wealth. This figure makes him one of the most affected individuals in the current stock market turmoil that is shaking the world.
1. Who is Jensen Huang? The Journey of a Visionary
Jensen Huang, known by his birth name Jen-Hsun Huang, was born in Tainan, Taiwan, on February 17, 1963, and from a young age, he showed a spirit of adventure by moving from place to place.
At the age of five, his family migrated to Thailand before eventually finding a new home in the United States. In the land of Uncle Sam, Huang studied at Oregon State University majoring in electrical engineering, then continued his graduate studies at Stanford University, where he laid the academic foundation that would later lead him to become one of the influential figures in the technology world.
His career began in the semiconductor industry, working at renowned companies such as AMD and LSI Logic, which became valuable experience when he founded Nvidia in 1993 with two partners, Chris Malachowsky and Curtis Priem.
2. Nvidia: From Startup to Technology Giant
In 1993, Huang and two of his colleagues launched Nvidia with a relatively small initial capital of only US$ 40,000. However, their vision to develop graphics chips has transformed the face of the gaming and artificial intelligence industries.
Under Huang's leadership, Nvidia soared to become the king of GPU (Graphics Processing Unit) technology, with their chips now being the backbone of AI computing and data centers around the world.
It’s no surprise that by 2024, Nvidia's market capitalization skyrocketed to US$ 3 trillion, placing it among the most valuable companies on the planet, only surpassed by giants like Microsoft and Apple.
3. DeepSeek: The New Player Shaking Up the AI Industry
DeepSeek, an AI startup based in China, has made waves by launching an AI chatbot named DeepSeek R1, which is currently gaining popularity worldwide.
With development costs reaching only around US$ 5.6 million, much more affordable compared to the billions invested by tech giants in Silicon Valley, DeepSeek's success has shaken the stock market and made large companies like Nvidia tremble.
Their more efficient business model challenges the dominance of giants like Meta, Google, and Microsoft, dramatically changing the competitive landscape in the technology industry.
4. Significant Impact for Nvidia and the Technology Industry
A massive sell-off in the stock market has caused significant losses for many tech billionaires. Besides Huang, several other big names have also seen declines in wealth:
- Larry Ellison (Oracle): Lost US$ 22.6 billion (Rp365.4 trillion).
- Michael Dell (Dell Inc.): Lost US$ 13 billion (Rp210.2 trillion).
- Changpeng Zhao (Binance): Lost US$ 12.1 billion (Rp195.6 trillion).
Overall, the technology sector experienced a loss of US$ 94 billion, accounting for 85% of the total decline in billionaire wealth. The Nasdaq Composite Index fell by 3.1%, while the S&P 500 plummeted by 1.5%.
5. What is the Future for Nvidia and Jensen Huang?
Despite facing significant losses, Jensen Huang and Nvidia continue to shine as kings in the tech universe. The demand for AI chips continues to soar, and Nvidia remains strong with a solid market share. Analysts are optimistic that the stock fluctuations are merely temporary turbulence, and Nvidia is predicted to bounce back in the long term.
However, challenges from newcomers like DeepSeek pose serious concerns moving forward. Alexandr Wang, CEO of Scale AI, revealed that although China's access to advanced GPUs from the US is limited, laboratories there may have already amassed more Nvidia H100 GPUs than anticipated.
Behind all this, Huang remains recognized as a visionary leader who tirelessly innovates in the world of artificial intelligence and graphics computing.
6. Who is Jensen Huang?
Jensen Huang is the founder and CEO of Nvidia, the world's largest semiconductor company known for its GPU technology and artificial intelligence.
7. Why did Jensen Huang's wealth drop drastically?
The significant losses Huang experienced were due to the sell-off of Nvidia shares caused by increased competition from DeepSeek, a Chinese AI company.
8. Will Nvidia make a comeback?
Despite experiencing a decline in stock value, Nvidia remains a leader in the AI and GPU industry, making it highly likely to recover in the near future.
9. What is DeepSeek and why does it impact Nvidia?
DeepSeek is a Chinese AI startup that has successfully created a low-cost AI chatbot, challenging the business models of US tech giants.
(kpl/rmt)
Disclaimer: This translation from Bahasa Indonesia to English has been generated by Artificial Intelligence.