With the growing influence of AI globally, Russian company Baikal Electronics has stepped into the field, potentially competing with NVIDIA through its application-specific integrated circuits (ASICs).
Baikal Intends to Compete With The Likes of NVIDIA By Stepping Into US-Sanctioned Markets
The emergence of players in the AI field is evident, given that the industry is facing an economic "boom". Every major company is being forced into a generative AI race, which has allowed companies like Baikal to step in and cater for the high demand. In an interview with CNews, here is what Baikal's chief executive Andrey Evdokimov has to say:
A new division has been formed to develop a lineup of specialized chips for artificial intelligence, which will adopt the best architectural practices existing at the moment. A key task for the team is to build a software ecosystem for the new processors
It is important to note that Baikal doesn't intend to compete with NVIDIA in the GPU segment. The company plans to release AI-dedicated ASICs with a pledged investment of 2 billion rubles. However, crucial details are still not evident. ASICs have gained tremendous traction, especially after the AI frenzy, since they bring substantial computational capabilities onboard. However, the only downsides are that they lack versatility and are specific to a particular application.
Baikal is a relatively new company, and it doesn't intend to compete for NVIDIA's dominant market share. Instead, they aim at Russian consumers who cannot access NVIDIA's AI GPUs due to trade restrictions. The company plans to create a sound "software ecosystem", shifting the country towards in-house production. Baikal hasn't disclosed many details on its ASIC units; hence, we can't conclude anything about its potential impacts on the industry.
Baikal's announcement concludes that US trade policies have led local companies to gain the spotlight, which they can capitalize on significantly. While this can't impact industry leaders initially, it could lead to a much more progressive environment, ultimately leading to further innovations.
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