Santa Clara, California, has no expert to loosen the sector grip in the near future
[NEW YORK] The Artificial Intelligence (AI) revolution has sparked the appetites of Nvidia's competitors who are trying to fill the gap between Chip Giants, the central playmaker of the AI revolution.
Virtually unknown to the public just three years ago, NVIDIA boasts the world's highest revenues by selling graphics cards or GPUs (graphic processing units) and the key processors to build the technology behind ChatGPT and its rivals.
Why does Nvidia control?
Though it was not the first to develop a GPU, the California-based group created expertise at the beginning of cloud computing in the late 1990s, gaining unique experience in the field.
Additionally, Nvidia is a “three dragon” and Dylan Patel, head of consultant Semian Alicis, has recently been featured on the “No Priors” podcast.
Not only does it design chips, it also provides the entire infrastructure that allows you to work with networking and software, that is, the two heads of the dragon.
According to Jon Peddie of Jon Peddie Research, Nvidia can “use world-class products to meet all levels of needs in a data center.”
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Where is the competition?
A considerable distance from Nvidia, its market share is estimated at around 80% depending on the source, so the American company Advanced Micro Devices (AMD) has previously been considered runner-up.
However, AMD generates a large portion of its revenue from selling CPUs. This is what we think is that processors used by individuals and business computers that are less powerful than GPUs and “can't deflect resources from their golden eggs.”
The leading cloud providers that decided to reduce their reliance on NVIDIA have developed their own processors.
Please refer
Although Google began using tensor processing units (TPUs) ten years ago, Amazon Web Services (AWS) training came out in 2020.
Today, Google and Amazon account for more than 10% of the market, surpassing AMD in terms of “performance, pricing, ease of use, reliability and the ability to produce enough chips to satisfy the largest customers.”
According to some media reports, Google offers tips to third-party customers. I contacted you from AFP and didn't respond. However, Amazon does not sell training to other players.
Where do the Chinese stand?
China is the only country in the sector to rival the US and is trying to make up for the lost time. And they have to do so without the most sophisticated US tips, which are currently subject to export restrictions.
In the case of Nanos, Huawei ranks Nvidia's most trusted competitor, alongside Google and Amazon.
Like Google and Amazon, Chinese comparables Baidu and Alibaba also manufacture their own AI processors, but these remain alternatives to Nvidia's GPUs.
“They can't keep up technically for a while at home,” Pedy said.
But “over time, its huge, clever labor and subsidies investment will allow China to create cutting-edge manufacturing systems.”
Is Nvidia under threat?
There are no giant experts who have Santa Clara, California, loosen the grips in this sector in the near future.
“Nvidia supports a large portion of AI applications today,” said John Belton, analyst at Gabelli Funds. “And despite their leads, they keep their feet on the gas by firing products every year, which is a difficult pace for competitors to match.”
In early September, Nvidia announced that the new generation of Rubin would be commercialized in the second half of 2026. The performance of the AI feature is estimated to be 7.5 times higher than the flagship products currently on the market. AFP
