It isn't a stretch to say that artificial intelligence (AI) helped to propel the market to terrific gains in 2023. Before the release of ChatGPT and the rush to invest in generative AI, Wall Street was buzzing with worry over inflation, interest rates, and a recession that hasn't materialized. The tone changed quickly, and markets are near record highs.

How much will companies invest in AI in 2024? Nvidia (NASDAQ: NVDA) and Amazon (NASDAQ: AMZN) will be excellent barometers. Here's why.

At the heart of Nvidia's recent success is its high-performance graphic processing units (GPUs) and data-accelerating software. These products are crucial for generative AI and other machine learning (ML) applications that require tons of data to be processed in the blink of an eye. This is why Nvidia's quarterly data-center sales have risen 450% since the fourth quarter of fiscal 2022 to $14.5 billion in fiscal Q3 2024, ended Oct. 29, 2023.

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Source Fool.com