Nvidia Plans Joint Chip Development with India to Tap Growing Market

CIOTechOutlook Team | Tuesday, 22 October 2024, 05:43 IST

  • No Image

Nvidia, a leading US based technology firm, has proposed creating a chip in collaboration with India, aiming to utilize India's proficient semiconductor design skills and explore its expanding market. Jensen Huang, the founder and CEO of the world's second most valuable company, proposed the idea to Prime Minister Narendra Modi during their meeting in the US earlier this year.

Nvidia's value has increased significantly due to the important role its graphics processing unit (GPU) chips play in the artificial intelligence (AI) boom that is propelling the technology sector. Ashwini Vaishnaw, the union minister for electronics and IT, confirmed the development, saying, "We are in discussions with Nvidia about creating an AI chip; these discussions are in the early stages."

Authorities stated that Nvidia plans to leverage India's extensive chip design industry in order to create a chip specifically for the Indian market. One of them mentioned that the government is currently working on finalizing the specifics, including the price, advantages, and potential uses of the jointly developed chip.

The chip, developed jointly, has the potential to be tailored for specific purposes in India, such as the security system used by Indian Railways called Kavach, according to the individual. Additionally, the chip could be utilized by Indian startups, companies, and government to back different applications that may develop if it is offered as part of the AI mission, stated the official.

In a brief period, the company in Santa Clara, California, has watched its market capitalization exceed that of Microsoft and Alphabet. At $3.39 trillion, it is just slightly lower than $3.57 trillion of Apple, the world's top-valued company.

Huang will be in India this week as part of his yearly visit to the country. While visiting in September last year, Huang had a meeting with PM Modi to talk about the opportunities India provides in the AI industry.

🍪 Do you like cookies?

We use cookies to ensure you get the best experience on our website. Read more...