US GPU developer NVIDIA announced on Monday that it will be making its own chipset for its computer servers.
It attacks US semiconductor maker Intel in its most profitable market. Accordingly, NVIDIA shares on the Nasdaq rose 5.62% to $ 608.36 on Monday, while Intel shares were down 4.18% to $ 65.41. NVIDIA’s alleged new CPUs are based on technology by ARM, which NVIDIA wants to buy from Japan’s Softbank group for telecommunications and media.
NVIDIA chips have already been used for AI-based graphics and applications, and the company is now taking the next step. Company president Jensen Huang said Monday that one advantage should be that the main processors under the “Grace” brand name can share memory with NVIDIA’s AI and graphics chips.
The “Grace” processors are supposed to support the technology from the ARM chip designer, which works with almost all smartphones and tablets. Intel competitor AMD, which recently increased its market share in server processors, is based on ARM architecture. NVIDIA plans to acquire ARM, but faces opposition from some major players in the industry such as QUALCOMM.
Intel generated about a third of its revenue in its data center business last year – and about half of its operating profits. In recent times, the need for technology has also been facing increasing Digitization It increased in the context of the Corona pandemic.
According to another announcement released on Monday, NVIDIA wants to secure its place in future cars with a generation more powerful than its car computer. The system, called Atlan, is expected to enter vehicles from model year 2025 onwards. The computer follows the previous version, “Orin”, which will be part of the new Mercedes models from 2023.
One analyst said there’s no reason why server chips from ARM could be less competitive than those from Intel, AMD, or IBM. Meanwhile, chipmakers aren’t watching NVIDIA’s expansion plans out of business: AMD is both hunting with its ongoing acquisition of Xilinx and Intel by purchasing Israeli AI company Habana Labs in 2019 in the same territory as the GPU. he is
New York (dpa-AFX)