NVIDIA has surpassed TSMC, Intel and Samsung as the chipmaker with the highest income. The financial results for the last quarter They place it on the throne, above Taiwan Semiconductor Manufacturing. The artificial intelligence fever and the sale of graphics cards from its RTX 40 series were key to driving growth.
In accordance with analyst Dan Nystedt, NVIDIA took the lead in the third quarter (Q3) after announcing its financial results. The company posted revenue of $18.12 billion and a profit of $10.42 billion. Nystedt mentions that the technological is on track to take second place in chip revenue throughout the year.
The analyst anticipates that, if the trend continues, NVIDIA will repeat the feat and maintain the throne in Q4. The company has had a surprising rise in 2023 thanks to the explosion of artificial intelligence. The data center division, responsible for offering the HGX AI supercomputers accounted for 80% of revenue in the last period.
NVIDIA leads the development of artificial intelligence chips thanks to its Hopper architecture. The technology company sells its A100 and H100 GPUs, focused on machine learning tasks. Companies like Meta, Amazon or Stabilty AI use clusters with H100 cards, while ChatGPT is trained with A100-based equipment.
The company led by Jensen Huang has found its gold mine in fashion technology. However, NVIDIA is not moving away from its roots and continues to focus on the gaming category. Yes ok GeForce card sales are far from the glory daysrevenue increased by 81% over the previous year, thanks to the RTX 40 series.
OpenAI could compete with NVIDIA in AI chips
The wide margin that the company has over its competitors could be reduced in the field of artificial intelligence. A few weeks ago it was reported that OpenAI considered manufacturing its own technology to reduce dependence on NVIDIA and Microsoft would be a key piece to achieve this.
The creators of ChatGPT analyzed various scenarios to face chip shortage. Demand for NVIDIA hardware by hundreds of companies caused delays in OpenAI’s short-term plans. In an interview published in May, Sam Altman, the company’s CEO, stated that they were very limited when it came to GPUs.
Among the alternatives that were proposed is developing its own chips. OpenAI would follow a path similar to that of Google or Amazon, although to do so it would need to acquire a company with experience in that sector. The path is not easy and the initiative It could take years before seeing its first fruitshowever, is an option for Altman.
Another obstacle for NVIDIA will be the blockade that the United States imposed on China to acquire artificial intelligence technology. In its financial results report, the technology company reported that between 20 and 25% of the revenue in the data center division comes from clients in that country.
Although Jensen Huang is confident that demand from other clients will compensate for the absence of the Asian country, the reality remains to be seen.