Watching NVIDIA Shares On Report MetaWorking On New Version Of In-House Custom AI Chip In Data Centers To Reduce Dependence On NVIDIA
Portfolio Pulse from Benzinga Newsdesk
NVIDIA shares are being closely monitored following reports that Meta is developing a new version of its custom AI chip for data centers, aiming to reduce its dependence on NVIDIA's technology.
February 01, 2024 | 4:20 pm
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NVIDIA may face potential challenges as Meta develops its own AI chips, potentially reducing its reliance on NVIDIA's products.
Meta's development of a custom AI chip could signify a shift in the technology landscape, reducing the demand for NVIDIA's AI chips in data centers. This move by Meta could impact NVIDIA's revenue from this sector, especially if other companies follow suit.
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IMPORTANCE 75
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Meta's initiative to develop a new custom AI chip could enhance its technological independence and reduce costs associated with external AI technologies.
By developing its own AI chip, Meta aims to reduce its dependence on external suppliers like NVIDIA. This move could lead to cost savings and greater control over its technology stack, potentially benefiting Meta's operational efficiency and profitability in the long term.
CONFIDENCE 70
IMPORTANCE 70
RELEVANCE 80