Tech investor Paul Meeks has offered his perspective on the ongoing AI chip battle, predicting that Jensen Huang-led Nvidia Corporation NVDA will continue to maintain its dominance.
What Happened: On Wednesday, Meeks appeared on CNBC’s Squawk Box session, and gave his take on the ongoing AI chip battle. His comments came after Nvidia announced the company’s next-generation AI chip, “Rubin,” at the Computex tech conference in Taipei, just months after unveiling the “Blackwell” model.
During the keynote speech, Huang revealed plans to launch the Blackwell Ultra GPU in 2025, followed by the Rubin GPU and the Vera CPU (the successor to the current Grace CPU) in 2026.
“So right now we are covered for essentially 2025, 2026, and 2027. And this is really unprecedented when a semiconductor company particularly dealing with such sophisticated products and manufacturing goes to the next platform. This is usually a couple of years,” he said about Nvidia’s latest launch.
During the same conference, Advanced Micro Devices AMD, Intel Corp. INTC, Qualcomm Inc. QCOM, and Arm Holdings Plc. ARM also made announcements.
However, Meeks believes that Nvidia will retain its leading position. “Nvidia will stay ahead, it’s a very very big pie. AMD is a well-regarded company, they will get a slice but Nvidia will still stay top dog,” he stated.
He went on to express doubt about Intel’s claims in the AI sector, stating that the company has struggled to hit the mark for about 20 years now. “They will make a comeback in PC-oriented CPUs but all their claims about AI, maybe they will get there, but I will believe it when I see it,” he added.
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Why It Matters: Previously, Goldman Sachs analyst Toshiya Hari also appeared to agree with Meeks when he reiterated his Buy rating on the shares of Nvidia after Huang’s Computex keynote speech. The analyst highlighted that Nvidia's capability to innovate at the data center level on a one-year cadence will make it increasingly challenging (and/or costly) for others to compete effectively.
On the other hand, during the conference, AMD CEO Lisa Su also unveiled the MI325X accelerator, which is anticipated to be available in the fourth quarter of 2024. The tech giant also announced the MI350 series, expected in 2025, and the MI400 series, scheduled for 2026, both featuring new architectures.
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