NVIDIA’s GenAI Strategy: Leading the Future of Artificial Intelligence

Market Trends Published on: 17 Jun 2024, 9:11 pm

Collected at: https://www.analyticsinsight.net/generative-ai/nvidias-genai-strategy-leading-the-future-of-artificial-intelligence

NVIDIA Corporation is an American multinational technology company that specializes in the manufacturing of computer hardware and software solutions. It provides solutions for graphics processing units (GPUs), application programming interfaces for data analytics and scientific computing, and system-on-a-chip units (SoCs) for mobility and automobiles. This company is a leading provider of AI solutions, technologies, and tools, that are applied in the gaming, professional visualization, data center solutions, and automotive industries. It also offers its professional-grade GPU technology for edge-to-cloud computing, supercomputers, and workstations among other uses.

The business model of NVIDIA is a platform strategy, which links hardware and systems, software, algorithms, and libraries to generate value. The company aims for higher performance compared to cost, making product capability important, and actively invests in various research and development activities, relying on key partnerships and cooperation to further its business agendas. The company’s broad range of products includes GPUs for graphics processing, data center and artificial intelligence, and SoC for mobile and automotive segments.

Strategic Partnership

NVIDIA Corporation has remained committed to innovations, and has proved its readiness to and has engaged in collaborations with other industries. These partnerships have brought about the much-needed agility in AI uptake as well as implementation across various industries. Through integrating its own advanced technologies with those of key partners for the market, NVIDIA has developed end-to-end and versatile tools for machine learning developers, data scientists, and companies.

• In May 2024, Kyndryl collaborated with NVIDIA to deliver improvement in the area of artificial intelligence-driven decision-making and enhanced business performance of their clients. The partnership unites the technology and the services allowing the customers to implement the generative AI solutions with increased velocity and to gain a competitive advantage in the AI ecosystem.  
• In March 2024, Google Cloud and NVIDIA collaborated to facilitate the creation of AI. This approach is built upon NVIDIA’s advanced GPU accelerators and software stack, interfacing with Google Cloud’s managed Vertex AI service to advance an integrated and easy-to-use AI platform for machine learning developers.
• In March 2024, CrowdStrike and NVIDIA announced they would provide NVIDIA’s AI computing offerings through the CrowdStrike Falcon XDR. This was done by integrating Falcon data with NVIDIA’s GPU-Optimized AI workflows and software, allowing for the special and secure development of generative AI models. This was intended to drive AI-driven security and offer insights about emerging threats in order to secure the enterprise.
• In March 2024, SAP and NVIDIA extended their collaboration to drive the adoption of data-driven and generative AI within enterprises. It led to SAP Business AI which combined intelligent but small and industry-specific AI solutions into SAP’s cloud solutions. This was possible to provide efficient access to various LLMs to get relevant, reliable and responsible business AI.
• In March 2024, Schneider Electric and NVIDIA joined forces to improve data center design and support edge AI and digital twin solutions. The collaboration also unveiled the reference designs for NVIDIA accelerated computing clusters regarding high powered distribution, liquid cooling, and controls necessary for stable operation. 
• In March 2024, AWS partnered with NVIDIA to bring efficiency to generative AI. The cooperation unveiled the NVIDIA Grace Blackwell GPU-based Amazon EC2 instances and the NVIDIA DGX Cloud to improve performance and security. This integration offered a strong foundation for the advancement of AI, particularly in healthcare and life sciences.
• In February 2024, ServiceNow and NVIDIA deepened their integration partnership by introducing telco-specialized generative AI solutions that improve service experiences. It expanded the ServiceNow Platform with the Now Assist for Telecommunications Service Management, enhanced by NVIDIA AI to increase agency efficiency, shorten the time to resolution, and gain faster time to value.
• In February 2024, Cisco partnered with NVIDIA to bring easy implementation and secure AI infrastructure to businesses. It ensures the connection to important customers such as ClusterPower, a European cloud services provider to advance data center operations with AI/ML solutions. Such cooperation allowed deploying the main AI / ML solutions for infrastructure and services for the client, improving the functioning of data centers.
• In May 2023, WPP and NVIDIA partnered to develop a generative AI-content production factory for digital advertising to create content at a faster pace with efficiency, the engine integrates NVIDIA Omniverse and AI to link 3D design and supply chain applications. This integration makes it possible to create more personalized as well as more engaging content while maintaining the overall brand consistency and quality.
• In May 2023, NVIDIA teamed up with Microsoft in a bid to advance business-ready generative AI. The combination of NVIDIA AI Enterprise with Azure Machine Learning built the complete cloud solution for developers to develop as well as apply AI apps for major language models. This collaboration was designed to streamline the AI development and deployment process and help enterprises unlock more generative AI’s capabilities. 
• In October 2022, Oracle and NVIDIA partnered to help more organizations fasten their AI journey. This partnership integrated NVIDIA’s accelerated computing software throughout the Oracle Cloud Infrastructure for better AI performance. That integration was to boost AI centrifuge across industries. 
• In December of 2022, Deutsche Bank became an embedded artificial intelligence company with NVIDIA. The five-year strategic collaboration is intended to drive the adoption of AI in the financial services industry, intelligent avatars, speech AI, fraud detection and risk management efficiency, and customer service with NVIDIA AI Enterprise software.

Merger and Acquisition

NVIDIA Corporation has been equally strategic in mergers and acquisitions to show its corporate stewardship and commitment towards growth. Such partnerships have helped the company to diversify its capabilities in artificial intelligence computing, resource orchestration, the edge, data management, HPC, and autonomous vehicle systems.

• In April 2024, NVIDIA acquired Run.ai to expand its portfolio and improve its AI computing and resource management solutions portfolio. With the acquisition, RunAI’s GPU orchestration software was used for optimal utilization of the resources in a cluster for machine learning tasks in clients’ businesses to enhance the artificial intelligence computing needs of the customers.
•  In May 2024, Nvidia bought Deci for $300 million as it sought to strengthen Nvidia’s AI prowess through the acquisition of Deci’s AI model optimization. Deci utilizes advanced AI to fine-tune models for specific hardware, enhancing AI algorithms’ operation. The acquisition brings AI evolution and adoption into different sectors including healthcare, finance and many others.
•  In July 2023, Nvidia partnered with OmniML, a company which that focuses on using ML in limited and less complex gadgets. By means of the deal, a large LLM training on edge devices is possible with the assistance of OmniML, which enhances Nvidia’s AI edge processing solution. It aimed to improve the computational capabilities of edge NV Boolean computing so as to make AI applications at the devices more secure and valuable.
•  In March 2022, Nvidia acquired Excelero to enhance its GPU and DPU in storage. Excelero’s SSD solutions enable a low-latency data access model which is important in various applications such as artificial intelligence, data analysis and so on which expanded Nvidia’s portfolio in data center and edge computing and enhanced data storage effectiveness.
•  In January 2022, Nvidia Corporation entered into an agreement to acquire Bright Computing B.V., to sustain the company’s High-Performance Computing and Datacenter Software solutions. Bright Computing being a software company, specifically, dealt with Linux cluster management and Nvidia has been a user of their product for more than a decade. Having acquired it, Nvidia will be able to make HPC data centers more manageable and, therefore, build the facet of HPC’s future.
• In June 2021, NVIDIA acquired DeepMap, a startup focused on HD mapping for robotics vehicles. The acquisition was intended to strengthen NVIDIA’s mapping solutions for the AV industry. The agreement connected DeepMap’s leading-edge mapping abilities with NVIDIA’s complex computing system to advance the creation of safe and dependable self-driving cars.

Investment Strategy

To foster the development of the AI environment, NVIDIA Corporation uses a complex investment approach. With regards to investment in the ecosystem, the company works with strategic partners via corporate investments and also helps startups find Venture capitalist capitalists to support innovation. 

• In June 2024, Cisco launched a $1 billion international investment fund to drive and advance safe, dependable, and reliable artificial intelligence solutions.  It aimed at extending and protecting the AI age by fostering the best software and infrastructural startups around the globe. Cohere, Mistral AI, and Scale AI are the first Generative AI startups that entered the Cisco Investments portfolio to develop a comprehensive AI market.
•  In January 2024, Nvidia participates in a $150 million funding round in kore. ai, a chatbot developer. The investment intended to increase the speed of implementation of Kore and also aims to significant customer growth along with unique solutions in AI by using Nvidia’s advanced chips.
•  In October 2023, an AI cloud-computing organization, which is funded by Jed McCaleb, provided $500m for Nvidia’s superior chips. This was achieved in an effort to solve the existing shortage of AI chips and improve the organization’s strengths in AI computing through solutions offered by Nvidia in AI hardware and software.
•  In July 2023, Nvidia made a $50 million investment in Recursion Pharmaceuticals to link Recursion’s 23 petabyte database with Nvidia’s deep learning computers. The deal plans to implement AI technology in the drug discovery process which has the capability to enhance the treatment effected to the patients.

Geographical Expansion

The company’s strategic geographic expansion plan entails opening offices in strategic locations to navigate the geopolitical complexities and foster regional AI ecosystems. It has expanded into Vietnam, nurturing local talent and supporting semiconductor development, whereas the US remains a stronghold, with significant revenue, while Taiwan and China also contribute substantially. These expansions also boost their international presence, collaborations, and income, making them one of the leading organizations in AI research.

• In May 2024, Nvidia purchased its office building in Santa Clara, California, for $374 million. The deal enabled Nvidia to establish itself in Silicon Valley and allowed its employees to work in a modern building. The campus will act as the central hub for operations of Nvidia across the world, and thus will strengthen the company’s position within the technology sector.
•  In April 2024, Nvidia invested $200 million to develop an AI center in Indonesia, with Indosat Ooredoo Hutchison. They designed it to improve Indonesia’s telecommunications assets and human capital and help Southeast Asia to deal with rapidly growing data usage in the region’s burgeoning digital economy.
•  In September 2023, Reliance and NVIDIA signed a memorandum to boost AI evolution in India. With this partnership, it seeks to develop a supercomputing ecosystem leveraging on NVIDIA’s technology such as the GH200 Grace Hopper Superchip and the DGX Cloud. This will generate something far more robust than India’s fastest supercomputer which will foster AI advancements in the region.
•  In November 2023, Netweb Technologies and Nvidia formed a strategic partnership to develop and improve the AI network in India. Netweb assumed a manufacturing role for Nvidia working on the NVIDIA Grace CPU Superchip and the GH200 Grace Hopper Superchip MGX server architectures and helps in enhancing the capability of AI of India.

New Product and Services Launches

NVIDIA Corporation always pays special attention to innovations and developments by cooperating with other manufacturers, mergers, and acquisitions, as well as introducing new products. The platform approach adopted by the organization integrates the hardware elements, software aspects, algorithms, and libraries to co-create new value and offers a wide range of products such as graphics processing units, data science and high-performance computing, and system-on-chip units, especially for mobile computing as well as the automobiles.

• In April 2024, Lenovo unveiled new hybrid AI solutions with the help of NVIDIA to provide specific generative AI solutions to each enterprise and cloud.  The latest additions to Lenovo’s ThinkSystem AI lineup include the 8-way NVIDIA GPU systems that are ideal for generative AI, natural language processing, and large language model creation.
•  In March 2024, NVIDIA launched the DGX SuperPOD, based on the NVIDIA GB200 Grace Blackwell Superchips. This advanced system is optimized for trillion-parameter models running 24/7 for superscale generative AI training and inference, that incorporates liquid cooling at the rack scale to offer five exaflops of performance and fixed-point four-bit precision.
•  In March 2024, Cadence Design Systems and NVIDIA deepened their partnership revealing two breakthrough technologies. With the partnership, the Cadence Reality Digital Twin Platform using NVIDIA Omniverse, bolstered data center design and simulation performances by 30X. Furthermore, Cadence’s Orion molecular design platform was enhanced by NVIDIA’s BioNeMo and microservices to accelerate drug discovery.
•  In January 2024, the NVIDIA corporation released the GeForce RTX SUPER desktop GPUs and new AI Laptops. As part of the announcement, there were new AI software and tools for developers and consumers that improve PC experience with generative AI. This included the turing of the Stable Diffusion XL model by NVIDIA TensorRT and NVIDIA RTX Remix with generative AI texture tools.
•  In May 2023, NVIDIA rolled out Spectrum-X which is an accelerated networking platform for Ethernet-based artificial intelligent clouds. This is done by integrating the Spectrum-4 Ethernet switch with the BlueField-3 DPU for better AI performance as well as power efficiency. It runs with the support of NVIDIA acceleration software and tools that empower developers to build software-defined AI systems for the cloud.
•  In March 2023, NVIDIA released four inference platforms suitable for generative AI use cases. The platforms meshed up the latest NVIDIA software stack with latest processors for AI video, image generation, language models and recommender systems. The launch was intended to equip developers with effective means for creating highly specific AI solutions.
• In September 2022, NVIDIA launched Omniverse Cloud, which is a set of various cloud-based solutions aimed at allowing artists, developers and enterprise teams to design, publish, operate and experience metaverse applications across multiple environments. With 3D collaboration on Omniverse Cloud, there was no need for local computing power for 3D workflows; AI machine training; and simulating self-driving vehicles.

Therefore, NVIDIA Corporation always pays special attention to innovations and developments by using cooperation with other companies, mergers, and acquisitions, as well as introducing new products. The organization’s platform approach unites the hardware, software, algorithms, and libraries to generate new value. For NVIDIA, the key success factor is superior product capabilities, which are achieved by prioritizing performance over cost. The company’s diversified product portfolio comprises graphics processing units, data science and high-performance computing, and system-on-chip units, especially for mobile computing as well as the automobile industry.