Nvidia to Produce its Own Central Processing Units to Compete with Intel

Aimed at handling the most complicated computing work, Nvidia is getting ready to produce its own microprocessing chips for servers to compete directly with Intel, which has more than 90% of the market share in server processors, Bloomberg is reporting. 

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The report notes that Nvidia has designed a central processing uni (CPU) based on technology from Arm, a company the graphics chipmaker is trying to acquire from Japan’s SoftBank Group. 

At a recent online event, Nvidia revealed that the Swiss National Supercomputing Centre and U.S. Department of Energy’s Los Alamos National Laboratory will be the first to use its chips in their computers.

Founder and Chief Executive Officer Jensen Huang has made Nvidia the most valuable U.S. chipmaker by delivering on his promise to give graphics chips a major role in the explosion in cloud computing. Data center revenuecontributes about 40% of the company’s sales, up from less than 7% just five years ago.

In the past, Nvidia has focused mainly on graphics processing units (GPUs), which are used to power video games and data-heavy computing tasks in data centers.