Nvidia ramps up production of AI GPUs following huge demand

Sayem Ahmed
RTX 4080 FE off

It’s no secret that Nvidia has been one of the companies at the forefront of AI development. Now, Team Green appears to be boosting the production of AI GPUs due to more demand than ever before.

While Nvidia is known for making graphics cards for your gaming PC like the RTX 4090, it’s also known that the manufacturer has a large business in supplying servers and supercomputers, too. We previously reported that Nvidia GPUs power artificial intelligence models like ChatGPT. With demand for AI skyrocketing across the globe, the company is uniquely positioned to benefit from the brand-new technology.

According to a report via Tom’s Hardware, the company will be producing an additional 10,000 wafers in 2023. The production will be handled by TSMC, whose capacity of making the wafers are around 9000 per month.

It’s likely that this demand will not be going anywhere any time soon, especially as we’re at the cusp of AI being introduced to mainstream users. You can even get Bing AI on your phone now. While Google announced radical changes to how its products will work with AI in the future. Ultimately, the processing has to be done somewhere, and companies will be willing to spend big to get there.

Is this good for Nvidia?

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Nvidia might be in a tight spot right now, with CEO Jensen Huang taking a pay cut. But, the reality is that with the dawn of generative AI in products like Bing, Bard, and more, they could tap into a market they already know better than almost anyone else in the industry. Nvidia’s teams also helped to birth technology like DLSS 3, which is making a huge impact when it comes to pushing performance to gamers.

Though gaming GPU releases will continue in the future, it’s likely that innovations in AI development will also eventually drip down to gamers. Nvidia’s CEO claims that one day, frames will not be rendered, but instead, be generated by graphics cards.