Brief news summary

Nvidia's strong earnings have not only benefited its own stock but have also had a positive impact on other semiconductor companies like AMD and TSMC. TSMC, an important supplier for Nvidia, is expected to see substantial revenue growth due to increased production of Nvidia's next-generation chips. TSMC is expanding its chip packaging capacity to meet the growing demand for Nvidia's chips, creating an appealing investment opportunity as it trades at a lower valuation than the US technology sector. Similarly, AMD, while still establishing itself in the AI chip market largely dominated by Nvidia, is a significant customer of TSMC. With TSMC's expansion of production capacity and the strengthening demand for AMD's AI GPUs, analysts predict significant growth in AMD's AI chip sales. If AMD can capture a larger share of the AI chip market, its earnings could experience a significant boost. Therefore, investing in AMD before its AI-driven rally could prove to be a wise decision.