Serenity Says Nvidia Is Shaping Competition in the AI ASIC Market

Serenity published an assessment on X outlining its view that Nvidia is positioning itself as a key force in the AI ASIC market. According to Odaily, Serenity argued that Nvidia CEO Jensen Huang does not want Broadcom to dominate the custom ASIC segment, and that vendors including Marvell, MediaTek, AlChip, and GUC are steadily taking market share that Serenity said previously belonged to Broadcom. Serenity said these companies are receiving implicit support within Nvidia’s ecosystem and are taking on more custom chip projects from hyperscale cloud providers. Serenity compared this market structure to the rise of emerging cloud service providers last year, describing it as a way for Nvidia to offset the moat created by leading cloud providers’ in-house ASIC development. Serenity said this could represent a trading opportunity over a two-year horizon, while stating it is not investment advice. Serenity also forecast that after 2030, major companies such as Google will bring a large amount of chip design work in-house. Serenity added that Nvidia has the ability to reshape valuation expectations across the industry chain, noting prior market expectations that Marvell could reach a trillion-dollar market capitalization.