Qualcomm announced it will launch new processors designed for data centers that can connect to Nvidia’s graphics chips and software. This is a key step for Qualcomm to enter the data center market, which is crucial for artificial intelligence (AI) applications.
Nvidia’s GPUs (graphics processing units) are widely used in data centers to train AI models, alongside CPUs (central processing units) made mostly by Intel and AMD. Qualcomm’s new custom CPUs will link directly with Nvidia’s powerful AI infrastructure, giving it a chance to compete in this space.
This marks Qualcomm’s return to data center processors after previous attempts years ago. In 2021, Qualcomm bought Nuvia, a company that designs processors using Arm technology, which will help Qualcomm create these new CPUs.
Qualcomm CEO Cristiano Amon said the company will soon share more details about the new CPU and its release date. He emphasized that Qualcomm aims to offer a disruptive product that adds real value to the data center market, which is expected to grow for many years.
The data center CPU market is very competitive. Big companies like Amazon and Microsoft build their own chips, while Intel and AMD are well-established players. Still, Qualcomm believes it can find a place by offering innovation and efficiency.
Recently, Qualcomm also signed a deal with Saudi AI firm Humain to help develop data centers, showing its global ambitions.
This move is part of Qualcomm’s plan to diversify beyond smartphone chips, as some phone makers like Apple are developing their own processors. Qualcomm is also expanding into chips for cars and PCs.
Experts say the data center market is the fastest-growing segment in semiconductors and that Qualcomm’s entry could help it benefit from the rapid growth in AI computing.
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