Nvidia CEO Jensen Huang announced the company’s next-generation Blackwell Ultra AI chip at its annual GTC event in San Jose. The chip offers improved AI capabilities and represents a significant increase in data center revenue opportunities compared to Nvidia’s Hopper chip.
The Blackwell Ultra is designed for “age of AI reasoning,” a type of AI processing that mimics human thought patterns. This technology was initially seen with DeepSeek’s R1 AI model, as well as Google’s Gemini 2.0 Flash Thinking and OpenAI’s o1 models.
Nvidia counters the notion that low-end chips can achieve similar results at lower costs, arguing that reasoning models benefit from powerful GPUs. The company says its new chip will provide better responses to user queries faster.
The Blackwell Ultra is set to be used in Nvidia’s massive NVL72 rack server, which combines 72 GB300 superchips for improved efficiency and serviceability. In the DGX SuperPod, a single AI powerhouse combines multiple NLV72 servers, with a staggering 288 Grace CPUs and 576 Blackwell Ultra GPUs.
The Blackwell Ultra is now in full production and has contributed $11 billion to Nvidia’s total revenue. Despite strong quarterly performance, the company’s stock price has declined due to concerns over hyperscalers’ spending on AI without sufficient returns.
Source: https://finance.yahoo.com/news/nvidia-unveils-blackwell-ultra-ai-chip-for-age-of-ai-reasoning-184301751.html