From Cousins to Competitors: The Shared Journey of Nvidia and AMD
November 5, 2023
The world of AI chip manufacturing may seem highly competitive, but there's an intriguing twist in the tale: the CEOs of two major players, Nvidia and AMD, are distant cousins. This fascinating connection, first acknowledged by AMD CEO Lisa Su in 2020 and recently detailed by a Taiwanese genealogist, Jean Wu, adds an unexpected layer to the story of these tech giants.
Despite growing up far apart, with Nvidia CEO Jensen Huang in Taiwan and Lisa Su in the United States, they both followed remarkably similar career paths. Both chose to study electrical engineering at prestigious institutions and later found themselves in the semiconductor industry. Though they've taken different routes within the field, it's worth noting that Huang worked at AMD before founding Nvidia, and Su joined AMD nearly two decades later, playing a pivotal role in revitalizing the company.
Today, Nvidia and AMD are headquartered just minutes apart in Santa Clara, California, and both compete in a rapidly growing AI chip industry projected to reach $1 trillion in value by 2030. These companies are best known for their GPUs (graphics processing units) initially designed for gaming but now widely used in generative AI applications like ChatGPT. Both also sell hardware for data centers, where their central processing units (CPUs) and data processing units (DPUs) are critical components.
Electric cars, computer systems, video game consoles, and advanced technology all benefit from the contribution of two major competitors. Nvidia has recently positioned itself as a leader in AI technology and has seen significant growth in their stock by 208% this year. Similarly, AMD has also had a positive year with their shares increasing by 73%, despite being a smaller company compared to Nvidia.
Despite this family connection and the shared competitive landscape, geopolitical tensions may pose a greater challenge for both companies. Export controls to China have already impacted their businesses, raising concerns about a long-term "permanent loss of opportunities" due to these restrictions. In a highly competitive world, Lisa Su noted the need for competitors to sometimes partner, emphasizing the importance of both rivalry and collaboration in the tech industry. The story of Nvidia and AMD, with their familial connection and global influence, is a testament to the interconnected nature of the semiconductor world.
Despite growing up far apart, with Nvidia CEO Jensen Huang in Taiwan and Lisa Su in the United States, they both followed remarkably similar career paths. Both chose to study electrical engineering at prestigious institutions and later found themselves in the semiconductor industry. Though they've taken different routes within the field, it's worth noting that Huang worked at AMD before founding Nvidia, and Su joined AMD nearly two decades later, playing a pivotal role in revitalizing the company.
Today, Nvidia and AMD are headquartered just minutes apart in Santa Clara, California, and both compete in a rapidly growing AI chip industry projected to reach $1 trillion in value by 2030. These companies are best known for their GPUs (graphics processing units) initially designed for gaming but now widely used in generative AI applications like ChatGPT. Both also sell hardware for data centers, where their central processing units (CPUs) and data processing units (DPUs) are critical components.
Electric cars, computer systems, video game consoles, and advanced technology all benefit from the contribution of two major competitors. Nvidia has recently positioned itself as a leader in AI technology and has seen significant growth in their stock by 208% this year. Similarly, AMD has also had a positive year with their shares increasing by 73%, despite being a smaller company compared to Nvidia.
Despite this family connection and the shared competitive landscape, geopolitical tensions may pose a greater challenge for both companies. Export controls to China have already impacted their businesses, raising concerns about a long-term "permanent loss of opportunities" due to these restrictions. In a highly competitive world, Lisa Su noted the need for competitors to sometimes partner, emphasizing the importance of both rivalry and collaboration in the tech industry. The story of Nvidia and AMD, with their familial connection and global influence, is a testament to the interconnected nature of the semiconductor world.