Markets are hypersensitive to any hint that the AI-chip pecking order is changing — and that showed up in Friday’s tape.

According to CNBC, **Nvidia (NVDA) shares fell nearly 3%** while **Advanced Micro Devices (AMD) rose close to 1%** after comments from **Arista Networks (ANET)** CEO Jayshree Ullal on the company’s earnings call.

## What Arista said

Ullal told investors that deployments that were once overwhelmingly Nvidia are showing a more meaningful mix:

- Roughly **20%–25%** of deployments may now be using **AMD** as the preferred accelerator, per her remarks.

Arista sits in a critical spot in the AI buildout, supplying **Ethernet switching** that connects high-performance chips in data centers. When Arista’s management talks about what customers are installing, markets listen.

## Why it matters for AI-chip leadership

Nvidia is still widely viewed as the dominant player in AI accelerators, but the market is watching for:

- **Share shifts at the margin** (even small ones) that could impact future expectations

- The pace at which alternatives (AMD and internal chips at hyperscalers) gain traction

- The networking stack’s evolution, as Nvidia builds more of its own end-to-end solution

CNBC notes Nvidia has been building its own networking technology, which can reduce reliance on third-party vendors like Arista — adding another competitive layer in the AI infrastructure race.

## What to watch next

Investors will likely focus on:

1. **Customer mix commentary** from other infrastructure suppliers

2. **Hyperscaler capex guidance** and GPU/accelerator procurement trends

3. Upcoming **earnings and product cycles** across the AI supply chain

*Draft prepared for Kicukiro Tech. Not investment advice.*