Nvidia Has Joined the Lobby
Nvidia is the nerdiest stock on Wall Street. While it’s hands-on with the many odds and ends of a personal computer, its market value has soared on the back of graphics cards. Those are the things that draw the world, and everything you see on a computer screen.
Designs are lent to mass PC-makers like Asus and MSI, and sold on to end gamers. Those gamers are, ultimately, the lifeblood of the industry. They’re whom management needs to protect and serve. But not mobile gamers. They can hop it!
Nielson estimates there to be twice the number of handheld players nowadays as traditional gamers, and none of them care for Nvidia’s chips. The risk for investors is that PC-makers like Asus and MSI could put the brakes on chip orders if demand plummets for specced-out gaming machines.
Luckily, Nvidia has a plan. What better way for the company to stay relevant than by getting e-type nerds off the metro, back in their desk chairs, and onto the new best game streaming service to-date? GeForce NOW!
GeForce NOW lets gamers play a modest array of titles for $4.99 a month. It’s all done over the internet on an Nvidia chip incubated hundreds of miles from home in a temperature-controlled data center. From old laptops to Chromebooks, you could be running Call of Cthulu on a potato and still get sixty frames per second on GeForce NOW. Groundbreaking!
These are unchartered waters for the chipmaker, but over one million gamers have already signed up or joined the waiting list. PC gamers have a deep respect for Nvidia, worshipping its “try-hard” graphics cards as status symbols in online lobbies. Investors are sold on it, too.
Shares rose on the news and are finding technical support for further upside. However, those betting on other game streaming services like Apple Arcade, Google Stadia, Sony’s PlayStation NOW, and Microsoft’s Game Pass, gave up nothing. This looks set to be another epic streaming showdown in 2020. Game on!
