Quick overview

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Qualcomm intends to introduce data center processors that will interface with Nvidia’s chips to power artificial intelligence. Data centers now depend heavily on Nvidia’s graphics processing units (GPUs) to train the massive AI models that drive chatbots and other applications.

Qualcomm announced that it will release a custom CPU for the data center that can interface with Nvidia’s software and GPUs. Given the importance of the U.S. chip giant’s AI-related semiconductors, a connection to Nvidia’s infrastructure is essential for any player to gain access to the data center market.

Qualcomm has announced its return to the data center market after a decade of disappointing efforts. The company acquired Nuvia, which develops processors based on Arm designs and plays a crucial role in the U.S. market.

Cristiano Amon, CEO of Qualcomm, stated, “I think we see a lot of growth happening in this space for decades to come, and we have some technology that can add real value.” Therefore, I believe that our CPU is highly disruptive. Without providing any details, Amon stated that the company will reveal the CPU roadmap and the release date “very soon.”

The market for CPUs for data centers is still very competitive.

Qualcomm’s expansion into the data center market aims to diversify its business, which relies on smartphone processor sales and modems. While other companies are considering in-house processors, Qualcomm’s major client, Apple, is starting to design its modems.