CNBC Daily Open: Nvidia's crown looks increasingly uneasy on its head

Core Viewpoint - Nvidia's stock has experienced a decline due to concerns over high valuations and competition from new AI models, particularly from Google and Meta [1][2][3][4]. Group 1: Stock Performance and Market Sentiment - Nvidia's shares fell by 2.6% amid ongoing unrest in the market [1]. - Concerns have been raised regarding the sustainability of Nvidia's chip lifespan, with investor Michael Burry suggesting that profits may be inflated due to accounting choices [2]. Group 2: Competitive Landscape - Google announced its new AI model Gemini 3, which is powered by its in-house AI chips, posing a potential challenge to Nvidia's dominance [3]. - Meta is considering using Google's custom AI chips for its data centers, indicating a shift in partnerships that could impact Nvidia's market position [4]. Group 3: Company Response - Nvidia has publicly asserted that its technology is superior to other AI chips, including Google's TPUs, in terms of power and versatility [5]. - The company issued a private memo to Wall Street to counter Burry's allegations regarding profit inflation [5].