(The author is a Reuters Breakingviews columnist. The opinions expressed are his own.)
By Jonathan Guilford
NEW YORK, Dec 26 (Reuters Breakingviews) - The $4.6 trln chip titan’s AI dominance faces new rivals, supply snarls and a shift from no-cost-spared model training to efficiency. Not-quite-acquiring an upstart challenger is an expensive defense, injecting uncertainty into a potentially giant new market as it takes off.
Full view will be published shortly. Follow Jonathan Guilford on X and LinkedIn.
<h3>CONTEXT NEWS</h3>
Semiconductor design company Groq said on December 24 that it had reached a non-exclusive licensing agreement with chipmaker Nvidia. As part of the agreement, members of Groq’s team, including founder Jonathan Ross, will join Nvidia. (Editing by Robert Cyran; Production by Maya Nandhini)

NVDA

NVDL

07788

07388

NVDY

NVDD

NVDX

NVDQ

SOXL

Nvidia has entered a non-exclusive licensing agreement with semiconductor design company Groq. As part of the deal, Groq's team members, including founder Jonathan Ross, will join Nvidia. This move is seen as a strategic defense by Nvidia to maintain its AI dominance amidst rising competition and market changes.

- The article discusses the challenges facing a $4.6 trillion chip giant regarding its AI market dominance due to emerging competitors and supply chain issues.  
- It highlights the company's shift towards efficiency in model training and the implications of a costly, unsuccessful acquisition of a rival.  
- Additionally, it notes Groq's recent non-exclusive licensing agreement with Nvidia, involving key team members joining Nvidia.

Reuters

NVIDIA

GraniteShares 2x Long NVDA Daily ETF

XL2CSOPNVDA

XI2CSOPNVDA

YieldMax NVDA Option Income Strategy ETF

Direxion Daily NVDA Bear 1X ETF

T-Rex 2X Long NVIDIA Daily Target ETF

T-Rex 2X Inverse NVIDIA Daily Target ETF

Direxion Semicon Bull 3X

BREAKINGVIEWS-Nvidia’s Groq deal muddies cheap challengers’ path