His zipper may have just cratered capitalism.
uncertain
zipper → cratere → capitalism
Nvidia makes the sophisticated graphics processing units, the GPUs, and the microchips that power everything from gaming to the AI revolution.
asserted
that → make → revolution
Nvidia currently represents about 6% to 8% of the total value of the S&P 500.
asserted
Nvidia → represent → S&P
Since 2024, Nvidia has accounted for about 20% to 25% of all games, all of them on the S&P 500.
asserted
Nvidia → account → S&P
Nvidia is an incredibly well-known and well-run company.
asserted
Nvidia → know → ?
Jensen Huang is one of the most sophisticated, driven CEOs in history.
asserted
Huang → drive → history
There is no substitute for an excellent CEO, and a bad CEO can run your business directly into the ground.
asserted
CEO → be → ground
Nvidia is run in a unique way, and it revolves around him personally.
asserted
it → run → him
His management structure is totally flat, which means he has about 60 direct reports.
asserted
he → mean → reports
Typically, when you run an organization, you have a CEO, a COO, and a CFO; you delegate business to them, and they have direct reports.
But that’s not what Jensen Huang does.
asserted
Huang → run → what
Instead, he basically has everybody report directly to him.
asserted
everybody → have → him
In a very good book called “The Nvidia Way,” author Tae Kim explained the Nvidia strategy:
asserted
Kim → call → strategy
Jensen announced to his executive team he had figured out how to keep Nvidia ahead of the competition forever.
asserted
he → announce → competition
“We’re going to fundamentally restructure the engineering department to line up with the refresh cycles,” he said.
asserted
he → go → cycles
Nvidia had split up the design team into three groups.
asserted
Nvidia → split → groups
The first would design a new chip architecture.
asserted
first → design → architecture
The other two would work in parallel to the first to develop faster derivatives based on the new chip.
asserted
two → work → chip
This would allow the company to release a new chip every six months, in line with PC makers of buying cycles.
asserted
company → allow → cycles
In other words, Nvidia has stayed ahead of the game because it constantly reinvests profits into building the next thing; it does so on a six-month cadence, so no one can ever catch up.
asserted
one → stay → cadence
The big mistake huge corporations make is that they consolidate their gains and then believe that nobody else will ever catch up to them.
asserted
nobody → make → them
That’s not what Jensen Huang does.
asserted
Huang → ’ → what
Instead, he keeps the company running extremely hard.
asserted
he → keep → company
Much of this depends on him personally.
asserted
Much → depend → him
Kim talked to Huang when he wrote the book about how greatness is achieved.
asserted
greatness → talk → book
“People with very high expectations have very low resilience.
asserted
People → have → resilience
Unfortunately, resilience matters in success,” he later said.
asserted
he → matter → success
Greatness comes from character.”17
asserted
Greatness → come → character
And character, in his view, can only be the result of overcoming setbacks and adversity.
asserted
character → overcome → setbacks
To Jensen, the struggle to persevere in the face of bad, and often overwhelming, odds is simply what work is.
asserted
work → persevere → odds
It is why, whenever someone asks him for advice on how to achieve success, his answer has been consistent over the years: “I wish upon you ample doses of pain and suffering.”
asserted
I → ask → pain
That’s great, except now the pain and suffering are here, and Jensen Huang brought that about himself.
asserted
Huang → ’ → himself
The climate of America right now is that Americans don’t like the tech bros.
asserted
Americans → like → bros
It doesn’t matter that the tech is powering America’s economic growth right now.
asserted
tech → matter → growth
They’re worried about AI data centers.
asserted
They → ’re → centers
Last week, voters across the nation rejected new AI data center development even though it’s creating jobs and economic growth.
asserted
it → reject → jobs
Voters are worried about AI development because you have people like Dario Amodei over at Anthropic saying that AI development will end with nuclear annihilation.
asserted
development → have → annihilation
They worry that people are making bank off their connections while they themselves are lagging economically.
asserted
they → worry → connections
To add insult to injury, in October, political polls showed that a plurality of Americans believe that all the major tech CEOs are Republican.
asserted
CEOs → add → Americans
That isn’t remotely true, although Amodei is pretty obviously on the Democratic side of the aisle, but it does lay the groundwork for something that I’ve been warning about since literally the inauguration of 2025: the alignment of the Trump administration with the tech bros.
asserted
I → lay → bros
It makes it look as though they are in bed together, and if it looks as though they are getting special privileges, that will all come crashing down.
asserted
that → make → privileges
…and 46 more, not listed.