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The $2.8 Trillion Company 猡达笍

PLUS: Ever heard of WhatsApp 馃挰

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  • The $2.8 Trillion Company 猡达笍

  • Ever heard of WhatsApp 馃挰

  • Asteroids 鈽勶笍

  • Trending Tools 馃敤 

The $2.8 Trillion Company 猡达笍

If you all thought that Fed Chair Jerome Powell was good at printing money, you haven鈥檛 met the real GOAT - NVIDIA鈥檚 CEO, Jensen Huang.

Nvidia鈥檚 earnings calls are now like The Super Bowl for investors. And honestly, who can blame them? 

And once again, the company absolutely smashed their latest quarterly earnings, sending shares higher after hours and allowing markets to take a 3-month deep breath until the firm鈥檚 next earnings determines the fate of the markets once again. 

All The Way Up

The leader in AI chips managed to deliver revenue of $26B in Q1 2025. Despite struggling to count years, they clearly have no issue counting racks.

Revenue more than tripled annually and boomed 18% higher than that of the previous quarter. The star of the show was Data Center Revenue which was up 427% YoY to another record high of $22.6B.

Building AI Factories

It鈥檚 heavily believed now that we are in the next industrial revolution, one that is powered by AI and Nvidia wants to be at the front and center of it. 

Instead of factories filled with smoke and child labour like the last one, this revolution is filled with GPUs and computing power with Nvidia identifying their biggest market opportunity going forward as AI factories. 

Friends in 鈥淗igher鈥 Places

The company stated that about 45% of the data center revenue is now attributable to the large cloud providers such as AWS, Azure and GCP.

As the prices for GPUs increase, so do NVIDIA鈥檚 profits, to a staggering degree - nearly 10x in dollar terms in the last 2 years. 

Is this a problem for the hyperscalers? Well, no - because of the unit economics. 

Nvidia recently highlighted their GPU ROI numbers and they seem to be quite cloud friendly.

For every $1 spent on NVIDIA AI infrastructure, cloud providers have an opportunity to earn $5 in GPU instant hosting revenue over 4 years.

Nvidia Earnings Call

That number is soon expected to go $7 on the H200 GPU series and the trend should continue with the next generation architecture, Blackwell.

The Blackwell GPU architecture delivers up to 4x faster training and 30x faster inference than the H100.

Nvidia Earnings Call

Nvidia has one of the best problems a business can have. So much demand that your biggest worry is keeping pace.

The company is now bigger than Amazon and Google. It鈥檚 the 3rd largest company in the US now - just behind Microsoft and Apple. 

Wall Street has officially termed it as 鈥The most important stock on planet Earth鈥.

Do you think Nvidia can continue the dream bull run? 

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Ever heard of WhatsApp 馃挰

We often forget that WhatsApp was one of the biggest venture capital success stories of all time. When Facebook bought WhatsApp for $19B in 2014, Sequoia鈥檚 $58M stake was worth $3B

The acquisition took place when WhatsApp had 450M users. Today, the messaging app boasts almost 鈥 **checks notes**2.5B active users. 

Rise in the US

America is the holy land for printing cash. Every global SaaS company wants to have a primary presence in the US and WhatsApp is no different. 

The messaging app has a much stronger presence outside of the US in countries like Brazil and India, however that seems to be changing. 

The messaging world in the US has been dominated by Apple's iMessage and SMS. This dynamic is being shaken up right now by WhatsApp. 

In recent years, WhatsApp has consistently grown in popularity and seems to be really taking off in the US in 2024.

Its Daily Active User (DAU) base in the US expanded by 9% in 2023 indicating that the app has gradually become a preferred choice for iPhone users.

For many, it鈥檚 become the default messenger, a drama free alternative to Apple and Android鈥檚 Blue vs Green Bubble wars.

@yourbrandcoachnyc

Sick of the green bubble struggle? Join the fight for texting equality in this EPIC rant! Apple's iMessage might have fancy features, but... See more

The Question of Money

For the uninitiated, WhatsApp鈥檚 revenue model might be puzzling. It鈥檚 free, there are no pesky ads interrupting your chats, so what鈥檚 the deal?

So, how does it generate revenue? Well, as of now, there are two primary income streams:

  1. Business Messaging

  2. Click-To-WhatsApp ads

1/ Business Messaging

In countries where WhatsApp penetration is high, such as India and Brazil, businesses have embraced the platform as a key communication tool. WhatsApp offers a more reliable and less cluttered alternative to email and a less invasive option than a phone call. 

This has led to a significantly growing revenue stream of business messaging, as companies are willing to pay for the privilege of engaging with their customers on such a trusted platform.

2/ Click to WhatsApp Ads

Even though the Click to WhatsApp Ads are a product served on Facebook and Instagram, they are generating leads/sales by redirecting consumers to WhatsApp - indirectly increasing its usage. 

From the latest report, it鈥檚 evident that WhatsApp鈥檚 Business Messaging revenue is experiencing robust growth - surging 85% YoY

This segment alone has become a $1.5B ARR segment - showcasing WhatsApp鈥檚 potential to be the next money minter for Meta. 

鈽勶笍 Asteroids 鈽勶笍

The OpenAI Startup Fund secured $15M to support early-stage AI companies, bringing its total to $325M in assets. 馃馃捈

Jan Leike, after leaving OpenAI over AI safety concerns, joins Anthropic to lead a new superalignment team focused on AI safety and security. 馃鉁

Explosive leak reveals Google's secretive search algorithm details, contradicting public statements, raising questions about transparency and impact on website rankings. 馃暤锔忊嶁檪锔忦煍

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