Meanwhile, what the company calls the ‘omniverse’ is seen as another $150bn opportunity. These include $300bn of potential future sales related to the automotive market as spending moves from chips for in-car entertainment to self-driving technology. While there are reasons to fear a temporary slowdown (more on that later), from a longer-term perspective, if Nvidia can continue to stay ahead of the competition, there is reason to think the tank could be brimming with rocket fuel.Īs well as the incredible forecast growth from the data centre division, the company believes other massive new markets are opening up for it. Source: FactSet, adjusted earnings figures, data as of Īfter such an exceptional run over three decades, it’s tempting to ask whether there is anything left in the tank for Nvidia.
the most powerful AI supercomputer dedicated to predicting climate change.’ Just keep growing ‘Notably, over 90% of the supercomputers around the world are powered by Nvidia. ‘The company has redefined modern computer graphics, with GPUs acting as the brain of computers, robots, medical imaging equipment, gaming consoles and self-driving cars,’ says Claudia Quiroz, the elite manager of the Quilter Investors Ethical Equity fund.
#NVDA FORECAST 2010 SOFTWARE#
Nvidia has also developed data processing units (DPUs) for this market.Īs the business has developed, Nvidia has pushed further into supplying new software and products, including plans to launch its first CPU this year. GPUs are the perfect workhorses for data-guzzling, machine-learning programmes. With the advent of AI, the ability to process data at speed has become central to computer applications. What’s more, while CPU development now lags Moore’s law (a doubling in capability every two years), GPU development is running ahead of it. Graphics processing units (GPUs) were originally developed to cater to video games’ exorbitant demand for graphics data, which remains a growth market.īut graphic chips have proved truly disruptive technology, because as well as processing image data, they have been found to be superior at sifting large volumes of other types of data compared with traditional central processing units (CPUs).ĬPUs’ strength lies in switching between the jobs they do whereas GPUs offer speed and focus. Janus Henderson Global Sustainable Equity The adoption of AI is driving eye-watering growth in demand from data centres, or ‘AI factories’ as Nvidia executives have called them. Nvidia’s data centre business should also benefit in coming years from a raft of major new product launches, including a high-performance central processing unit (CPU). At the same time, it has found applications for its technology in scientific research, supercomputing and artificial intelligence (AI). Having started out targeting the fast-expanding gaming market, Nvidia has segued into data centres, automotives and the fledgling metaverse. The obsession with product development extends to applying technology to new markets. Everything is always about the next version. The company operates in an industry where product improvement and innovation is paramount. The name’s first two letters, ‘NV’, are a reference to the prefix used to save files by the company’s three founders – Jensen Huang, Chris Malachowsky and Curtis Priem – after they set up shop in 1993.