Reports that its GB200 AI and HPC servers are scheduled for mass production and peak sales by mid-2025 caused Nvidia (NVDA, Financials) shares to rise. NVIDIA stock is up 4% on last look, trading for $135.49, representing a year-to-date gain of 181.5%. Trendforce claims that the chronology represents Nvidia's approach to increase its involvement in data centers with an eye on artificial intelligence.
Based on the Blackwell GPU architecture, the GB200 servers have creative designs such the NVL72 variant, which links 72 GPUs via NVLink. With this configuration, predicted huge language model processing will be much improved and performance gains over previous versions will be offered. Some delays, meantime, have resulted from technical difficulties with heat management and interconnects.
Trendforce observed that supply chain changes will probably cause 2024 year-end shipments to fall short of estimates even while manufacturing is improving. Early 2025 is expected to bring a manufacturing boom that would help the GB200 to take a sizable portion of the AI server market, maybe reaching 80% of installations in its sector by that year.
Key manufacturing partners Foxconn (HNHPF, Financials) and Quanta Computer (QUCCF, Financials) attested to their support of Nvidia's timetable. Smaller shipments are scheduled to start soon; larger-scale manufacturing is expected to start early 2025. The GB200's introduction is expected to propel a 55% increase in Nvidia's high-end GPU shipments in 2025, hence underlining its significance in the company's AI activities.
After previous increases, Nvidia shares have experienced little movement in recent months; but, the possible market effect of the GB200 has attracted investor attention once again. Despite present challenges, analysts remain positive about Nvidia's strong position in the AI accelerator industry and project continuous demand and revenue growth.
