The complete halt of data center shipments to China due to geopolitical restrictions.
Long-term competitive threat from hyperscalers like Google and Amazon developing and promoting their own custom AI chips.
The bear case that the company is too large to sustain its growth rate and that the dividend increase signals a lack of high-return investment opportunities.
Opportunities Identified
Potential re-entry into the Chinese market, which is estimated to be a $50 billion opportunity.
Growth in data center sales from a diversifying customer base beyond hyperscalers, including enterprise, industrial, and sovereign AI clouds.
Increasing revenue from selling full data center solutions, including networking (InfiniBand, SpectrumX) and interconnects, not just GPUs.