The CEO of Nvidia, Jensen Huang, is anticipated to display advanced AI and quantum computing chips on Tuesday. This move aims to counteract speculation about China’s DeepSeek potentially shaking up the industry.
Huang's keynote address at Nvidia’s yearly developer conference ought to fill up the SAP Center in San Jose, a city in Silicon Valley, which is also home to the NHL hockey team, the Sharks.
Industry observers anticipate Huang will highlight Nvidia's upcoming Blackwell series of graphics processing units (GPUs), along with some anticipated enhancements currently under development.
The surge in artificial intelligence sparked Nvidia’s stock prices to reach unprecedented heights until a significant downturn earlier this year was caused by the unexpected success of DeepSeek.
The stock, among the highest-volume traders on Wall Street, has dropped over nine percent this year, even with a recent recovery from a trough reached in March.
Based in China, DeepSeek disrupted the realm of generative artificial intelligence (GenAI) by unveiling an affordable yet highly capable model that poses a challenge to the dominance of OpenAI and similar large-budget giants.
However, multiple nations have raised concerns about how DeepSeek manages data, with the company stating that it is stored in "secured servers within the People's Republic of China."
High-performance Nvidia graphics cards are highly sought after by major technology companies constructing data centers for their AI needs. Some argue that an affordable alternative might undermine the market position of this prominent Silicon Valley semiconductor firm.
The co-founder and CEO of Yurts, Ben Van Roo, whose firm focuses on safeguarding confidential information while enabling access through AI models, thinks that the widespread use of DeepSeek is a positive sign for Nvidia.
Van Roo told AFP that DeepSeek significantly sped up the urge to engage with these models.
You've further whet the world's appetite for generative AI, regardless of its Chinese origin, I believe it was a positive day for Nvidia.
Blackwell Booming
Nvidia has increased production of its premium Blackwell processors designed for AI tasks, recording several billion dollars in sales during their initial quarter available.
"Artificial intelligence is progressing at breakneck speed," and is paving the way for "the subsequent generation of AI to transform major sectors," Huang informed financial analysts lately.
Huang thinks that Nvidia’s processors and software ecosystems will keep driving or instructing AI for robotics, automobiles, and digital “agents,” which refers to artificial intelligence capable of making decisions without human intervention.
The CEO might also emphasize the move towards quantum computing.
Despite numerous failed forecasts, quantum computing is now advancing swiftly, with practical applications and significant scientific discoveries anticipated in just a few years rather than over several decades.
American technological corporations, emerging businesses, financial institutions, and drug manufacturers are heavily investing in this groundbreaking technology.
CPUs such as those produced by Nvidia are perfect for managing numerous computational tasks at once, rendering them suitable for quantum computing applications.
The United States and China are at the forefront of advancing quantum technologies, while Washington has implemented export limitations on this tech.
Nvidia announced that they concluded the previous year with an all-time high revenue of $130.5 billion, primarily due to the increased demand for their processors to support AI operations in data centers.
Nvidia anticipates revenues of around $43 billion for the present fiscal quarter, surpassing analysts' forecasts.