One of the biggest beneficiaries of this trend is Nvidia (NASDAQ: NVDA), which pioneered the graphics processing units (GPUs) that have become the gold standard for running AI systems. However, reports emerged recently that suggested a Chinese start-up had cracked the code for developing strong AI systems while using inferior chips and novel training processes.

Nvidia is well positioned to benefit over the long term and in the near term. In fact, my prediction is this hot stock won't take a pause this year and instead will soar in 2025 — thanks to this one thing. Let's check it out.