Nvidia is leaning into robotics as it looks to expand beyond its dominant AI chip business. The company plans to launch Jetson Thor, a new compact computer designed for humanoid robots, in the first half of 2025, according to The Financial Times. Deepu Talla, Nvidia’s vice president of robotics, says the timing aligns with recent breakthroughs in generative AI and robotic training using simulated environments.
Unlike Tesla, which builds its own robots, Nvidia’s approach is to supply the tools and technology that other robot makers need. “There are hundreds of thousands of robot makers in the world,” Talla said. “We provide the platform to enable them to do any of those tasks.”
This approach is a calculated bet, allowing Nvidia to position itself as the backbone of a growing robotics market. Instead of competing with robot makers, the company ensures its relevance across the industry, no matter which manufacturers dominate the sector.
Nvidia is navigating growing competition in its AI chip business. Companies like AMD and cloud giants such as Amazon, Google, and Microsoft are developing their own chips to cut costs and reduce reliance on Nvidia. This shift has pushed Nvidia to explore new growth opportunities, and robotics is at the center of its strategy.
The company’s Jetson platform, first introduced in 2014, has evolved into a comprehensive solution for robotics development. It includes software for training AI models, simulation tools, and hardware for robots. Nvidia’s customers include big names like Amazon, which uses its simulation tech in warehouses, and Toyota, which employs its training software.
Talla describes the robotics market as reaching a “tipping point.” Advances in generative AI have made it possible to train robots more effectively in virtual environments and translate that learning into the real world. This progress addresses the “Sim-to-Real gap,” a key challenge for roboticists.
Challenges and Opportunities in Robotics
Despite Nvidia’s optimism, robotics is still a relatively small part of its business. Most of its revenue—88 percent of $35.1 billion last quarter—comes from data centers. Robotics remains a niche field with challenges like scaling production, reducing costs, and verifying the safety of AI models.
Even so, Nvidia has been positioning itself as a key player in what it sees as the next big wave of AI. The company has made strategic investments in robotics start-ups, including a February funding round for Figure AI, which was valued at $2.6 billion.
The global robotics market, worth $78 billion this year, is projected to hit $165 billion by 2029, according to BCC Research. Nvidia’s tools are already being used by companies like Apptronik and Boston Dynamics.
Talla believes the robotics sector is on the verge of its “ChatGPT moment.” For Nvidia, that could mean becoming the go-to provider for the technology driving the robots of tomorrow.
Featured Image courtesy of Justin Sullivan/Getty Images
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