Earlier this month, Nvidia Corporation (NASDAQ:NVDA) announced the Jetson TX2, which is the latest iteration of the TX1, which NVDA describes as “the world’s first supercomputer on a module.” The company designed the Jetson module as a tool to assist developers in advancing and creating new technology. Additionally, in partnership with Microsoft Corporation (NASDAQ:MSFT), Nvidia announced development of the HGX-1 Hyperscale GPU Accelerator, which promises improved performance and standardization for cloud-computing servers.
These tools will also serve NVDA stock investors (indirectly, of course), as they further the company’s rise to the top of the AI industry ladder.
Android Central described the Jetson TX2 best, saying:
“The people who will build this technology of the future will need the tools to do so. In 2017, NVIDIA is doing its part, and the Jetson TX2 is the embodiment of this idea.”
Simply put, the Jetson TX2 is a mini supercomputer that can process massive amounts of data on the spot, which can be a huge advantage for technology developers who would otherwise have had to upload all that data to an online server for cloud computing.
What’s more, NVDA’s Jetson TX2 is capable of “edge” machine learning, a term that refers to the ability of the module to process, interpret and analyze data without the need to first upload it to the cloud, then download the resulting information and details. The TX2 has served its purpose quite successfully and it has helped Nvidia achieve its goal of simplifying developers’ processes by reducing the number of steps required to garner important data.
As far as the HGX-1, NVDA believes that:
The HGX-1 hyperscale GPU accelerator will do for AI cloud computing what the ATX standard did to make PCs pervasive today. It will enable cloud-service providers to easily adopt NVIDIA GPUs to meet surging demand for AI computing.
More Iconic Brands Rely on NVDA Than You Might Realize
Historically, Nvidia has been known for its industry-leading graphics cards. But, NVDA stock is much more than a computer GPU maker. Sure, the company still produces some of the most advanced GPUs that make hardcore gamers drool, but graphics processors are actually capable of much more.
While high-end GPUs will, obviously, improve PC video quality and reduce or eliminate that annoying screen lag when you’re playing a first-person shooter game, they’re also used for a surprising number of non-visual applications.
For instance, Alphabet Inc (NASDAQ:GOOG, NASDAQ:GOOGL) and Tesla Inc (NASDAQ:TSLA) use Nvidia GPU technology in the development of their respective driverless cars. Volkswagen AG (ADR) (OTCMKTS:VLKAY) and Daimler AG’s (OTCMKTS:DDAIF) Audi brand have also been using Nvidia GPU units in their own driverless vehicle development projects. These companies use the NVDA Drive PX2 — which, according to Forbes, shares the renowned Tegra Parker silicon as the Jetson TX2.
Beyond just autonomous vehicles, though, Nvidia GPU devices have been used by medical scientists and pharmaceutical companies to investigate and better understand the effects of aging. Using GPUs made by NVDA, biotech companies such as InSilico employ AI to analyze large data sets and “emulate human brain function” in an attempt to combat diseases related to old age and reduce the cost of healthcare.
Similarly, at its annual Open Compute Project summit earlier this month, Facebook Inc (NASDAQ:FB) announced a cutting-edge AI server dubbed Big Basin, which features “no less than eight Nvidia Tesla P100 GPU accelerators.”
Bottom Line on NVDA Stock
All things considered, Nvidia stock’s meteoric rise in the field of artificial intelligence shows no signs of slowing. With the release of the Jetson TX2 module, coupled with the upcoming HGX-1 accelerator, NVDA stock has addressed — seemingly quite successfully — mobile/field R&D as well as the cloud computing needs of AI developers.
For Nvidia stock, this is a solid sign that the past year’s 213% gains will continue.
As of this writing, Greg Gambone did not hold a position in any of the aforementioned securities.