The Nvidia’s annual software developer conference this week, CEO Jensen Huang is set to defend the company’s leading position in the AI chip market amid growing competition and cost pressures on its largest customers.
The nearly $3 trillion chip giant, which has seen its revenue more than quadruple over the past three years to $130.5 billion, now faces challenges as rivals and emerging startups target both the training and inference segments of AI computing.
Huang’s keynote address on Tuesday will come at a critical juncture following recent market tremors sparked by China’s DeepSeek. The competitor’s release of a cost-efficient chatbot—allegedly requiring less computing power than those of its rivals—caused U.S. markets to react sharply. While Nvidia continues to dominate the training market with a market share exceeding 90%, it now confronts increasing pressure in the inference arena, where the process of generating real-time responses in AI systems is becoming ever more essential.
Among the highlights at the conference is the anticipated unveiling of details for a new chip system, Vera Rubin, named after the pioneering astronomer. Expected to go into mass production later this year, Vera Rubin is part of Nvidia’s ongoing efforts to stay ahead of competitors. Its predecessor, a chip named after mathematician David Blackwell, was introduced last year but encountered production delays that have affected Nvidia’s margins.
Industry experts note that the shift from AI training—feeding large volumes of data to models—to inference, which powers the delivery of AI outputs, is reshaping the market. “The market for inference is going to be many times bigger than the training market,” said Jay Goldberg, chief executive of D2D Advisory. While Nvidia’s share in the inference market may decline, the overall revenue pool is expected to expand significantly. Startups, such as Untether AI, and established rivals like AMD are betting on selling chips that promise lower electricity costs, a critical factor given the high power consumption of Nvidia’s current offerings. “They have a hammer, and they're just making bigger hammers,” commented Bob Beachler, vice president at Untether AI, underscoring the challenge Nvidia now faces.
Beyond chip development, Nvidia is also expected to discuss its broader ambitions in other computing markets, including advancements in robotics and quantum computing. Recent comments by Huang suggesting that quantum computing remains decades away had previously rattled markets, prompting competitors like Microsoft and Google to challenge that view. In response, Nvidia plans to devote an entire day at the conference to explore the state of quantum computing and outline its own plans in this emerging field.
Additionally, Nvidia is venturing into building a personal computer central processor chip—a move that industry analyst Maribel Lopez warned “could eat into what’s left of the Intel market.” This expansion into new product categories reflects Nvidia’s strategy to diversify its portfolio and capture new revenue streams as the AI landscape continues to evolve.
As Jensen Huang takes the stage, all eyes will be on his defense of Nvidia’s technological leadership and his vision for maintaining the company’s competitive edge in an increasingly dynamic market.
The Trump administration on Monday rolled out a new app designed to allow immigrants in the United States who are in the country illegally to "self-deport" rather than face arrest and detention, furthering President Donald Trump's hard-line deportation efforts.
Authorities in Russia’s Dagestan and Chechnya regions have blocked access to the Telegram messaging app over concerns it could be used by hostile groups, according to regional officials quoted by the TASS state news agency.
Alibaba is now offering free, open-source access to its latest generative AI models capable of producing highly realistic videos and images from text and image inputs. The move, which sees the company releasing four variants of its Wan 2.1 series, is expected to boost innovation among researchers, a
Meta confirmed to CNBC that an error on Instagram is causing some users’ Reels feeds to display violent and sexually explicit videos that would not normally be recommended by the platform’s algorithms. The company stated it is actively working to resolve the issue and apologized for the mistake.
Brussels, February 21, 2025 – Alphabet’s mapping app Waze has crossed the threshold for classification as a Very Large Online Platform (VLOP) under the European Union’s Digital Services Act (DSA), triggering tougher obligations to tackle illegal online content.
EU ministers vowed on Monday to explore ways to save Radio Free Europe/Radio Liberty (RFE/RL) after U.S. President Donald Trump cut its funding, but warned that replacing U.S. support would not be easy.
International donors at a European Union-led conference in Brussels pledged €5.8 billion ($6.3 billion) on Monday to support Syria’s new authorities, who are grappling with humanitarian and security crises following the fall of Bashar al-Assad.
A U.S. spy drone withdrew from near Iranian airspace after being intercepted by Iranian F-14 fighter jets and reconnaissance drones, Iran’s Nournews reported on Monday, citing the country's Army Air Force.
Germany’s constitutional court has rejected last-minute legal challenges to a €500 billion ($546 billion) infrastructure fund proposed by conservative leader Friedrich Merz.
A deal that could reshape Ukraine’s borders—Donald Trump is pushing for a peace agreement with Vladimir Putin, suggesting land concessions and nuclear plant control may be on the table.
The inside of a Herculaneum delicate & ancient scroll, unseen for nearly 2,000 years, has been revealed using Artificial Intelligence.
World leaders welcomed the 30-day ceasefire proposal that Ukraine has agreed to, calling it a step toward ending the conflict with Russia.
Regarding the Armenia-Azerbaijan process, we cannot forget the years of occupation, and we will not forget them, President Ilham Aliyev said in his speech at the opening ceremony of the 12th Global Baku Forum.
President Donald Trump has vowed to respond to the European Union's counter-tariffs, escalating tensions over the U.S. steel and aluminum duties that have sparked a trade dispute between the two economic powers.
In Tuesday’s closely watched parliamentary election, Greenland’s pro-business opposition Demokraatit party took a commanding lead after over 90% of the ballots were counted.
Google is reportedly preparing to collaborate with Taiwan’s MediaTek on the next generation of its AI chips—its Tensor Processing Units—set to be produced next year, according to a report by Information citing people involved in the project.
The Republican-led House Judiciary Committee, led by Representative Jim Jordan, has issued subpoenas to 16 tech companies involved in artificial intelligence to probe allegations that the Biden administration pressured private firms to moderate content, curb "harmful bias,"
Chinese search engine giant Baidu has launched two updated AI models—Ernie 4.5 and Ernie X1—in a bid to bolster its competitive edge in the artificial intelligence market.
In a warehouse in Shanghai, approximately one hundred humanoid robots are being manufactured to perform everyday tasks with the help of Artificial Intelligence.
EU ministers vowed on Monday to explore ways to save Radio Free Europe/Radio Liberty (RFE/RL) after U.S. President Donald Trump cut its funding, but warned that replacing U.S. support would not be easy.
International donors at a European Union-led conference in Brussels pledged €5.8 billion ($6.3 billion) on Monday to support Syria’s new authorities, who are grappling with humanitarian and security crises following the fall of Bashar al-Assad.
A U.S. spy drone withdrew from near Iranian airspace after being intercepted by Iranian F-14 fighter jets and reconnaissance drones, Iran’s Nournews reported on Monday, citing the country's Army Air Force.
Germany’s constitutional court has rejected last-minute legal challenges to a €500 billion ($546 billion) infrastructure fund proposed by conservative leader Friedrich Merz.
A deal that could reshape Ukraine’s borders—Donald Trump is pushing for a peace agreement with Vladimir Putin, suggesting land concessions and nuclear plant control may be on the table.
You can download the AnewZ application from Play Store and the App Store.
What is your opinion on this topic?
Leave the first comment