Nvidia Enters CPU Market with Agentic AI Expansion, Threatening AMD and Intel
Nvidia recently reported strong second-quarter earnings that exceeded expectations and raised its third-quarter guidance. During the call, CFO Colette Kress revealed a projected annual revenue growth of 70% for fiscal 2028—well above Wall Street's estimate of 44%. The company is also expanding into agentic AI, where autonomous agents perform tasks with minimal human input. Nvidia introduced its own CPU, the Vera, specifically designed to handle these workflows. It claims superior performance compared to industry standards and aims for $20 billion in CPU sales by fiscal 2027, which it expects to more than double by 2028. This move directly challenges AMD and Intel, both of whom are currently strong performers due to rising demand for CPUs. Despite the threat posed by Nvidia's expansion into this space, there is optimism that agentic AI will continue growing rapidly, potentially offering opportunities for all players in the market.
Topics: agentic AI AI CPUs GPUs