That sent tech stocks soaring, after they had slumped earlier on fears that AI valuations are in bubble territory. In other words, they are displaying “elements of irrationality”, to cite Sundar Pichai, head of Google owner Alphabet.

Investors are worried that tech companies are overspending on artificial intelligence and there's a bubble that could burst.

Nvidia’s rapid rise has turned its CEO Jensen Huang into the chief evangelist for the AI revolution and he sought to use his bully pulpit during a late Wednesday conference call with industry analysts to make a case that the spending to make technology with humanlike intelligence is just beginning.

The rise of artificial intelligence was a “once-in-a-lifetime opportunity,” she said, and the company had to put AI at the center of its entire product line. Three years later, the Santa Clara, Calif.

Nvidia CEO Jensen Huang's rejection of the AI bubble narrative seemed to reassured investors initially, but their concerns couldn't be repressed for long.

CEO Jensen Huang addresses the AI bubble and highlights Nvidia's new partnerships with Anthropic, OpenAI, and xAI.

Its completely unclear to me who’s going to monetize and make money out of all this capex,” said Wood at the Fortune Innovation Forum.