Nvidia Seen Fending Off Rival Artificial-Intelligence Chips Stock News & Stock Market Analysis - IBD

Graphics chip maker Nvidia (NVDA) is well-positioned to fight off emerging competitors in the market for chips for artificial-intelligence applications, a Wall Street analyst said Tuesday. These rivals include application-specific integrated circuits (ASICs) or semi-custom chip systems such as Alphabet (GOOGL)-owned Google's tensor processing units, Intel's (INTC) Nervana, and upcoming systems from privately held Graphcore and Cerebras Systems, Mosesmann said. "It is possible for ASICs over time to be successful in the deep-learning world," Mosesmann said. "However, we are of the opinion that at this stage in a multidecade product cycle it is just too early to'fix' the hardware, given that there is a plethora of deep-learning frameworks (Tensorflow, Caffee, MXNet, CNTK, etc.), that may take years to settle on which open-sourced varietals will win." Customers will gravitate to Nvidia's GPUs for deep learning in part because of the company's compute-platform and programming model, called CUDA, he said.