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16 handpicked stocks

AI Chip Competition | AMD Challenges Nvidia Dominance

Advanced Micro Devices has launched a new suite of powerful AI chips, directly challenging Nvidia's market dominance. This move signals an intensified competition in the semiconductor space, creating new opportunities across the AI hardware ecosystem.

Author avatar

Han Tan | Market Analyst

Published on January 6

Your Basket's Financial Footprint

This basket's total market capitalisation is $7.01T and is dominated by a small number of very large-cap stocks, which generally anchor performance and reduce volatility.

Key Takeaways for Investors:
  • Large-cap dominance generally implies lower volatility and closer market tracking, suggesting more stable performance and reduced risk.
  • Treat as a core, long-term portfolio holding rather than a speculative, high-risk trade.
  • Expect steady, long-term appreciation rather than rapid, explosive gains; returns are likely moderate and gradual.
Total Market Cap
  • NVDA: $4.57T

  • TSM: $1.38T

  • ASML: $479.07B

  • Other

About This Group of Stocks

1

Our Expert Thinking

AMD's bold challenge to Nvidia's AI chip dominance signals a new phase of intense competition in the semiconductor space. This rivalry is expected to accelerate innovation, drive down pricing, and expand the supply base for critical AI hardware. Our analysts believe this competitive dynamic will fuel growth across the entire semiconductor value chain, from chip designers to equipment manufacturers.

2

What You Need to Know

This theme captures companies throughout the semiconductor ecosystem - not just the headline competitors. From foundries that manufacture the chips to equipment makers who supply the factories, these stocks are positioned to benefit from increased capital investment and innovation. The group includes both established leaders and key suppliers in the AI hardware supply chain.

3

Why These Stocks

These companies were handpicked by our professional analysts based on their strategic positions within the AI chip ecosystem. Each stock represents a different angle on the theme - from direct competitors like Intel to essential infrastructure providers like TSMC and ASML. This selection ensures broad exposure to the expanding AI hardware market.

Why You'll Want to Watch These Stocks

🔥

Competition Heats Up

AMD's aggressive challenge to Nvidia's dominance could spark a wave of innovation and investment across the entire AI chip ecosystem. When giants compete, the whole industry often benefits.

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Supply Chain Winners

As demand for AI processing power surges, the companies that make the tools, materials, and services behind these chips are positioned for significant growth opportunities.

Market Expansion

This isn't just about two companies fighting - it's about a rapidly expanding market where multiple players can thrive as AI becomes essential across industries.

Get the full story on this Basket. Read our detailed article on its risks and potential.

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