Posted 4/11/2024, 7:19:00 PM
Big Tech's In-House AI Chips Threaten Nvidia's Market Dominance
- Hardware emerging as key AI growth area; in-house chips allow big tech firms to reduce dependence on companies like Nvidia and Intel
- In-house chips can be tailored to a company's specific AI models, boosting performance and energy efficiency
- Nvidia dominates current AI chip market with over 90% market share, but new in-house chips from top customers like Google and Meta pose a threat
- In-house chips may be less powerful but faster to manufacture than Nvidia's top offerings
- Big question is whether in-house chips will significantly reduce reliance on Nvidia in the long run, which could hurt its soaring share price