Nvidia will build AI supercomputers for US Department of Energy

CEO Jensen Huang has announced that Nvidia, the market leader in artificial intelligence (AI) chips, will construct seven new supercomputers for the US Department of Energy (DOE).

In a keynote address at the company’s GTC event in Washington, DC, the US capital, Huang claimed on Tuesday that the company has $500 billion in bookings for its AI chips.

Nvidia is the driving force behind the global adoption of AI, the first business to have a valuation of more than $4 trillion. It negotiates deals with other countries around the world while navigating a US-China trade war that might reveal which country’s technology is most widely used.

Investors want to know what chips the tech company can sell to China’s vast market, but Huang praised US President Donald Trump’s policies while announcing new products and agreements. Nvidia AI chips will work with quantum computers thanks to network technology included in these.

The US will keep and expand its nuclear weapons arsenal thanks to the supercomputers Nvidia is building for the DOE. Additionally, research on alternative energy sources, such as nuclear fusion, will be conducted using the supercomputers. The DOE’s largest supercomputer will be made with Oracle and use 100 000 of the Blackwell chips from Nvidia.

Huang claimed that “putting the weight of the country’s economy in opposition to pro-energy growth completely altered the game.” We could have been in a bad situation if this hadn’t happened, and I want to thank President Trump for that.

On Tuesday afternoon, Nvidia shares increased 3.3 percent to $ 97.82.

new arrangements

In an effort to expand its AI communications business, Nvidia also announced new agreements with Finnish telecom equipment manufacturer Nokia. Nokia will receive a $ 1 billion investment in a 2.9 percent stake in Nvidia, along with a new product line called Arc, which is designed to work with telecommunications equipment.

The announcement caused Nokia’s shares to rise 20.86%, reaching a high of late January 2016.

For 6G, the newest wireless data technology, Nvidia will collaborate with Nokia to increase the power efficiency of the company’s base stations, according to Huang.

According to Huang, “We’re going to take this new technology and upgrade millions of base stations around the world.”

Over the next five years, Nvidia will have booked $ 500 billion in Blackwell and Rubin chips, according to the CEO.

Nvidia also announced a partnership with Palantir Technologies, a business that collaborates closely with the US government. Nvidia’s partnership, however, was focused on Palantir’s commercial business, where Nvidia will assist it in accelerating the resolution of logistics issues for businesses like Lowe’s, a home improvement retailer. Intel has a long history of being a stronghold of such corporate work.

Hyperion, a new self-driving car technology platform, was unveiled by Nvidia. According to Huang, Nvidia and Uber are working together to build a network of robot axis. Huang said, “I’m expecting it to be a very successful computing platform for us.”

According to Gil Luria, an analyst at DA Davidson, “These announcements all demonstrate Nvidia’s ability to expand its reach beyond its core data center customers.” Although these projects “powder in comparison to the capex of the hyperscalers like Microsoft, Amazon, Google, and Meta,” they may lead to the development of new markets for Nvidia.

pursuing government work

As Trump and Chinese President Xi Jinping were scheduled to meet on Thursday in a packed conference hall, Huang took the stage as they wrapped up their week-long tour of Asia. The two countries’ trade discussions are likely to be about advanced technology, with access to Nvidia’s chips a key topic.

Nvidia’s first annual GPU Technology Conference (GTC) event is taking place in Washington, DC, a sign that the company is looking to collaborate with the US government and contractors based in the city.

The US government is focusing on boosting its computing capacity and boosting AI. A $1 billion partnership with the DOE will lead to the development of two supercomputers that will address pressing scientific issues, including nuclear power, cancer treatments, and national security, as revealed by Nvidia rival Advanced Micro Devices on Monday.

Joe Biden, the former US president, resisted exporting Nvidia’s AI chips made for the Chinese market before changing his mind in July. In his second term, Trump has veered in his direction.

Source: Aljazeera