Nvidia’s Big Investment Boosts Another AI Stock

Shares of Serve Robotics went up 130% after Nvidia said it would buy a 10% stake in the company. This is another example of Nvidia’s “halo effect” helping startups.

Shares of Serve Robotics went through the roof on Friday after Nvidia said it had acquired a 10% stake in the delivery technology company.

This made Serve Robotics the latest startup to benefit from Nvidia’s halo effect.

Late Thursday night, Nvidia told the government that it owned 3.7 million shares of Serve. Based on Thursday’s closing price, this was worth about $9.8 million.

There was a big jump in shares of Soundhound AI, a voice AI and speech recognition company, in mid-February when Nvidia said it had a stake worth less than $4 million. Since then, Soundhound stock has gone up more than 125%.

You can spot Serve’s delivery robots on the sidewalks of San Francisco and Los Angeles. They do last-mile deliveries.

Serve used to be a part of Postmates, a food delivery service. In 2020, Uber bought Serve and then split it off in 2021.

Shares of Serve went up about 130% not long ago. Nvidia saw a drop of more than 1%.