Microsoft-Backed Startup D-Matrix To Compete With Nvidia In Bid For AI Dominance
Portfolio Pulse from AJ Fabino
Microsoft-backed startup D-Matrix is set to compete with Nvidia in the AI market. D-Matrix recently raised $110 million in a Series B funding round, led by Temasek and supported by Playground Global and Microsoft. The startup's unique selling proposition is its tailored chips, optimized for generative AI applications. Microsoft is actively considering the startup's chip for its ventures. D-Matrix projects a revenue of under $10 million this year, with an anticipated annual revenue of $70 to $75 million within two years.
September 06, 2023 | 4:30 pm
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POSITIVE IMPACT
Microsoft is backing D-Matrix, a startup competing with Nvidia in the AI market. The tech giant is actively considering the startup's chip for its ventures.
Microsoft's investment in D-Matrix and its consideration of the startup's chip for its ventures could potentially boost its position in the AI market. This could have a positive impact on Microsoft's stock in the short term.
CONFIDENCE 85
IMPORTANCE 80
RELEVANCE 90
NEGATIVE IMPACT
Nvidia, a dominant player in the AI market, faces competition from D-Matrix, a startup backed by Microsoft. D-Matrix is focusing on the 'inference' facet of AI processing, sidestepping a direct collision with Nvidia.
The entry of D-Matrix into the AI market, backed by a tech giant like Microsoft, could pose a threat to Nvidia's dominance. This could potentially have a negative impact on Nvidia's stock in the short term.
CONFIDENCE 80
IMPORTANCE 70
RELEVANCE 80