On Tuesday, Arm Ltd., the Cambridge-based British semiconductor maker whose chip technology powers a lion's share of smartphones across the globe, had rolled out a next-generation chip technology, largely in a bid to take on data centres and platforms offering development of cloud-based AI applications, marking up a breakthrough move ahead of its $40 billion mega-merger with Nvidia Corp.
In point of fact, Softbank-backed Arm had unfurled a new edition of what could be seen as a fundamental basis of a chip that determines the type of software it will run, while Arm’s new chip architecture, named as “V9,” has been instrumented to counter rival chipmakers such as Intel on cloud security alongside AI-based applications.
Simply put, while Intel and AMD chips could not directly execute data centre- or AI-based applications, but could be capitalized by splitting their processes into so-called ‘virtual machines’ while enabling multiple customers to run applications in cloud-based platforms likes of Microsoft Azure and AWS (Amazon Web Service), helping them generate billions of dollars in revenues, Arm’s new generation chips claimed to have introduced a concept called “Realms” that would be able to perform similar tasks in hardware chips, evading data centres while scaling up security features.
Arm unveils new generation V9 chips to take on data centres
Apart from that, the Cambridge-based British chipmaker, which had sealed a $40 billion merger deal with the US-based semiconductor industry giant Nvidia Corp., added that its Gen-Z chips would perform additional AI-based tasks such as image and speech recognition, a high profit-margin field where Nvidia had repeatedly outperformed Intel Corp.
Meanwhile, addressing to an out-and-out optimism over Arm’s merger with Nvidia Corp., the company Chief Executive Simon Segars said in a press briefing, “We’re excited by the prospect of combining with Nvidia and the enhanced engineering capabilities that we’ll be able to bring marrying our pervasive compute platform with their deep, deep expertise in AI”.