On August 28, NVIDIA declined 3.03% in regular trading to $221.45/share, with turnover of $18.161 billion, giving back a portion of the previous session's 8.74% post-earnings surge.
The pullback was primarily triggered by reports that NVIDIA has paused its AI Compute Partnership program less than two months after launching it, amid concerns the initiative could face antitrust scrutiny. According to the Wall Street Journal, some NVIDIA employees raised concerns with current and potential customers about the extent to which the program could allow the chipmaker to influence how customers operate. The initiative had provided financing support to AI cloud providers in exchange for a share of revenue and sought some control over how NVIDIA chips were rented to customers.
Adding to the negative sentiment, investor Michael Burry flagged NVIDIA's $105 billion OpenAI guarantee as a \"circular financing\" red flag, calling the market reaction \"whistling past the graveyard.\" These concerns partially offset the bullish momentum from NVIDIA's strong Q2 earnings and 70% FY2028 revenue growth guidance that had driven the prior session's rally.
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