Perplexity AI Plans to Use Nvidia's New 'Vera' CPU
AI startup Perplexity announced Tuesday it plans to use Nvidia's new central processing unit, 'Vera,' as the chip giant seeks to broaden its market and compete with Intel and AMD. Nvidia expects to generate $20 billion in sales from Vera by the end of this fiscal year.
Key Numbers
AI startup Perplexity on Tuesday confirmed it plans to use Nvidia's new central processing units, as the chip giant works to broaden its market and take on entrenched players such as Intel and Advanced Micro Devices (AMD).
Details
According to Reuters, Nvidia expects to generate $20 billion in sales from its 'Vera' CPU by the end of this fiscal year. Vera is a more general-purpose computing chip compared to Nvidia's AI-specific offerings.
Context
The Vera chips are part of Nvidia's efforts to diversify sales as artificial intelligence companies such as OpenAI and DeepSeek develop their own AI chips. This move directly challenges Intel and AMD, which dominate the CPU market for PCs and servers.
What It Means for Investors
This move signals Nvidia's ambition to expand beyond specialized AI chips, potentially opening a massive new market. However, competition in the CPU space is fierce, and Vera's success will require time to erode Intel and AMD's market share.
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