The managing director in South Asia decodes Nvidia's market strategy for India, how the country can control its own data, building India's sovereign AI, and more
Vishal Dhupar, MD, NVIDIA
Nvidia faced a brief but brutal selloff in early September after announcing its latest quarterly results. The trigger was also from the Department of Justice in the US investigating antitrust regulations concerning the artificial intelligence chip company. Nvidia promptly denied the report. The shares surged after CEO Jensen Huang asserted that the chipmaker is experiencing an incredible demand.
At a recent Goldman Sachs conference, Huang said, “Everybody is counting on us." He added that demand is so great that it directly affects customers' revenues and competitiveness, making delivery of Nvidia's components, technology, infrastructure, and software a high-stakes matter. Nvidia's technology powers a wide range of applications, from gaming consoles and self-driving cars to the world's most powerful supercomputers. The California-based chip designer specialises in processing software applications and scientific domains that are nearly impossible without its technology. Nvidia's first-mover advantage and three decades of expertise in graphics processing units (GPUs) have given it a competitive edge.
Currently, Nvidia commands about 90 percent share of the artificial intelligence (AI) chip market, giving a run to its competitors Advanced Micro Devices (AMD) and Intel. It’s worth noting only a few companies are fuelling their AI chip business. On the strength of four customers—whose identities the company does not disclose for competitive reasons—Nvidia more than doubled its second-quarter revenue. These four customers purchased goods and services collectively worth 46 percent of Nvidia’s $30 billion in turnover. They are likely to be Amazon, Google, Meta, and Microsoft.
Meanwhile, back in India where it set up base two decades ago, Nvidia’s operations have more than tripled its revenues since FY18, as per VCCEdge, a data research platform. With four engineering centres in Bengaluru, Hyderabad, Pune, and Gurugram, the 4,000 engineers employed make it Nvidia’s second-largest talent pool after the United States. In addition, its developer program in India has over 320,000 developers and about 60,000 CUDA (Compute Unified Device Architecture) developers.