Best 5 AI chip makers: A ultimate guide for 2024

Qualcomm, a prominent figure in the semiconductor sector, is renowned for its pioneering work in Code Division Multiple Access (CDMA) technology, fundamental to global 3G networks. Their Snapdragon chipsets are highly regarded for powering numerous mobile devices worldwide.

Their latest flagship AI chip, the Snapdragon 8s Gen 3, introduced in October 2023, aims to deliver advanced AI functionalities to Android flagship smartphones.

In 2023, IBM made waves with the launch of North Pole, its latest AI flagship chip, utilizing 12 nm node processing technology. Claiming 25 times greater energy efficiency and markedly reduced latency compared to a 12-nm GPU, IBM positions this chip as a breakthrough in AI hardware.

By Q4 of 2023, IBM reported a total debt of $59.93 billion, up from $54.01 billion in 2022. As of recent data, IBM's market capitalization stands at approximately $167.10 billion, with shares priced around $182.27 each. Revenue projections indicate a growth rate of 4.17%, from $61.86 billion in 2023 to $64.44 billion in 2024, and further to $67.38 billion in 2025.

Following setbacks with its previous Ponte Vecchio chip, Intel unveiled its latest AI chip, Gaudi 3, boasting up to 1.7 times the training performance, 50% improved inference, and 40% enhanced efficiency compared to Nvidia’s H100 processors. This chip is slated for availability to OEMs in the second quarter of 2024.

Although Intel's long-term debt surged to $49.3 billion in 2023 from $42.1 billion in 2022, revenue projections indicate growth from $54.23 billion in 2023 to $58.56 billion in 2024. Currently, the company's market capitalization stands at approximately $150.9 billion, with shares valued at $36 each. In February 2024, Intel forged a partnership with Microsoft for a custom chip venture valued at around $15 billion, leading to a collaboration with UMC to develop a 12-nanometer process platform.

Advanced Micro Devices (AMD) has emerged as a significant player in the AI chip domain, showcasing its prowess with the launch of the MI300X GPU and MI300A APU in December, boasting a 1.6X advantage over Nvidia's GPUs at the time. In a bid to solidify its standing, AMD has partnered with machine learning firms like Hugging Face, aiming to enhance data scientists' hardware utilization.

Despite fierce competition with Nvidia, AMD's current market capitalization stands at approximately $263.88 billion, with shares valued at $163.28 each, albeit trailing behind Nvidia. With a reported total debt of $3 billion in 2023, AMD is projected to experience robust revenue growth at a rate of 25.99%, increasing from $22.68 billion in 2023 to $26.06 billion in 2024.

Established in April 1993, Nvidia is renowned for its expertise in designing and supplying graphics processing units (GPUs) primarily for gaming, alongside applications in data science, machine learning, and AI-driven technologies. The company's AI chips, utilized in Tesla for autonomous vehicles, enjoy widespread adoption in data centers, accelerating AI workloads for tech giants like Google, Amazon, and Microsoft.

Reportedly, Nvidia holds a commanding 95% share in the AI chip market, as per The Economist. With a staggering market capitalization of approximately $2.22 trillion and shares priced at around $881 each as of April 2024, Nvidia stands as a formidable force. Having peaked at $12.03 billion in January 2023, Nvidia's total debt for the last quarter stood at $11.05 billion. The company forecasts a revenue of $110.57 billion for the upcoming fiscal year. Nvidia's latest AI chip, the Blackwell B200, is poised for early adoption by tech giants including Google, Meta, Amazon Web Services, Dell Technologies, Microsoft, OpenAI, Oracle, and Tesla.