Nvidia and AMD slip as new AI chip plans fail to impress

Nvidia and AMD shares declined in the October 12 session even as both chipmakers rolled out new hardware and software designs aimed at next-generation AI data centers. Rather than reassuring investors, the announcements seemed to invite a harder question: how long before any of this shows up in revenue. An analyst cited in coverage of the move said the potential payoff from the new designs is still far out, and that gap between promise and near-term earnings is what pressured the stocks. The same session saw broader weakness in memory-related names weigh on the Nasdaq even as the Dow posted gains, underlining that the pullback was concentrated in chip and AI-infrastructure stocks rather than the market as a whole. What remains unresolved is whether this is a pause in an otherwise intact AI capital-spending story or the start of investors demanding clearer near-term revenue timelines before rewarding new product unveilings.