Robotics Analyst: Nvidia's AI Developments Don't Change The Self-Driving Car Timeline

NVIDIA Corporation NVDA stirred the markets Tuesday with news of its groundbreaking supercomputer capable of supporting fully autonomous vehicles. The announcement drove Nvidia shares to the $190 level.

But for all the excitement, the world’s first artificial intelligence computer for “Level 5” autonomy may not widely impact the AV space.

“This is definitely a net positive for the entire self-driving car space but doesn't change our thesis on electric or self-driving vehicles,” Austin Bohlig, robotics analyst at Loup Ventures, told Benzinga. “At the least, it may have modestly shortened the time frame when we begin to see self-driving vehicles on the road, but our 2020 date for the influx to begin still holds.”

Nvidia is already considered a leader among AV suppliers. Loup managing partner Gene Munster previously listed Nvidia as the field’s top components manufacturer and the best way to play the AV theme outside of a Tesla Inc TSLA stake.

The Tesla Impact

Tesla currently uses Nvidia chips, but was recently reported to have partnered with Advanced Micro Devices, Inc. AMD in an alleged step toward self-sufficiency. Analysts posited that the move could be indicative of Tesla’s eventual shift from Nvidia products but insisted that Nvidia investors had little to worry about.

Tesla supporters were similarly unconcerned by Nvidia’s latest demonstration of strength.

“As it relates to Tesla, I don’t think they are second guessing themselves [with regard to the AMD partnership],” Bohlig said. “While Nvidia may have a slight [leg] up in the GPU space, AMD has made great progress over the last couple years and is much more competitive today.”

Loup still considers Tesla and Alphabet Inc GOOGL’s Waymo leaders in self-driving auto manufacturing.

Related Links:

The Autonomous Future: Munster's 2020 Vision Of The Road

Gene Munster: Traditional Car Manufacturers Face 'Innovator's Dilemma'