Latest news with #NeMo
Globe and Mail
25-04-2025
- Business
- Globe and Mail
Nvidia Targets $1 Trillion Market with New AI Agent Software
Nvidia (NVDA) is deepening its push into enterprise AI by launching NeMo microservices, a new software platform that helps businesses build autonomous AI agents – what the company refers to as 'AI teammates.' Stay Ahead of the Market: Discover outperforming stocks and invest smarter with Top Smart Score Stocks. Filter, analyze, and streamline your search for investment opportunities using Tipranks' Stock Screener. According tothe Wall Street Journal, with this move, Nvidia targets the estimated $1 trillion AI agent market, which it believes could eventually replace much of today's enterprise software. NeMo microservices enable companies to develop AI agents using open-weight models – transparent alternatives to proprietary systems like those from OpenAI or Anthropic. However, the platform itself is not fully open-source. Nevertheless, these open models, from sources like Meta (META) and Mistral AI, expose the underlying architecture, offering greater flexibility and data control. That's a critical advantage for enterprises working with sensitive or confidential information. 'We're focusing on where businesses need full control,' said Joey Conway, Nvidia's senior director of enterprise generative AI. 'And we're not seeing enough of the market serve those needs.' What Does It Mean for Investors? NeMo reflects a familiar but powerful Nvidia strategy for investors: combining its core GPU hardware with value-added software solutions. This playbook began with CUDA and has strengthened its ecosystem ever since. Another key benefit is that NeMo is cloud-agnostic, giving customers freedom from vendor lock-in—an attractive proposition for many IT leaders. While enterprise adoption of AI agents has been slow due to training and data integration hurdles, NeMo aims to remove those barriers by streamlining how companies incorporate their proprietary data into AI workflows. Nvidia joins a competitive field that includes Microsoft (MSFT), Google (GOOG), Amazon (AMZN), and OpenAI. However, its dominance in AI infrastructure and proven developer tools could offer a strategic edge. For investors, NeMo isn't just a product – it's a clear signal that Nvidia is extending its leadership beyond chips into the software intelligence layer that enterprises will increasingly rely on. Is NVDA Stock a Buy? Nvidia sports a Strong Buy rating, with an average price target of $168.49 for NVDA stock. This suggests a 60% upside potential. See more NVDA analyst ratings Disclaimer & Disclosure Report an Issue
Business Insider
25-04-2025
- Business
- Business Insider
Nvidia Targets $1 Trillion Market with New AI Agent Software
Nvidia (NVDA) is deepening its push into enterprise AI by launching NeMo microservices, a new software platform that helps businesses build autonomous AI agents – what the company refers to as 'AI teammates.' Stay Ahead of the Market: Discover outperforming stocks and invest smarter with Top Smart Score Stocks. Filter, analyze, and streamline your search for investment opportunities using Tipranks' Stock Screener. According to the Wall Street Journal, with this move, Nvidia targets the estimated $1 trillion AI agent market, which it believes could eventually replace much of today's enterprise software. NeMo microservices enable companies to develop AI agents using open-weight models – transparent alternatives to proprietary systems like those from OpenAI or Anthropic. However, the platform itself is not fully open-source. Nevertheless, these open models, from sources like Meta (META) and Mistral AI, expose the underlying architecture, offering greater flexibility and data control. That's a critical advantage for enterprises working with sensitive or confidential information. 'We're focusing on where businesses need full control,' said Joey Conway, Nvidia's senior director of enterprise generative AI. 'And we're not seeing enough of the market serve those needs.' What Does It Mean for Investors? NeMo reflects a familiar but powerful Nvidia strategy for investors: combining its core GPU hardware with value-added software solutions. This playbook began with CUDA and has strengthened its ecosystem ever since. Another key benefit is that NeMo is cloud-agnostic, giving customers freedom from vendor lock-in—an attractive proposition for many IT leaders. While enterprise adoption of AI agents has been slow due to training and data integration hurdles, NeMo aims to remove those barriers by streamlining how companies incorporate their proprietary data into AI workflows. Nvidia joins a competitive field that includes Microsoft (MSFT), Google (GOOG), Amazon (AMZN), and OpenAI. However, its dominance in AI infrastructure and proven developer tools could offer a strategic edge. For investors, NeMo isn't just a product – it's a clear signal that Nvidia is extending its leadership beyond chips into the software intelligence layer that enterprises will increasingly rely on. Is NVDA Stock a Buy? Nvidia sports a Strong Buy rating, with an average price target of $168.49 for NVDA stock. This suggests a 60% upside potential.
Forbes
25-04-2025
- Business
- Forbes
Nvidia Releases NeMo Microservices To Streamline AI Agent Development
Nemo Microservices Nvidia unveiled the general availability of its NeMo microservices, equipping enterprises with tools to build AI agents that integrate with business systems and continually improve through data interactions. These microservices are being launched at a time when organizations are seeking concrete AI implementation strategies that can provide measurable returns on significant technology investments. Enterprise AI adoption faces a critical challenge: building systems that remain accurate and useful by continuously learning from business data. The NeMo microservices address this by creating what Nvidia describes as a 'data flywheel,' allowing AI systems to maintain relevance through ongoing exposure to enterprise information and user interactions. The newly available toolkit includes five key microservices: These components work together to build AI agents that function as digital teammates, capable of performing tasks with minimal human supervision. Unlike standard chatbots, these agents can take autonomous actions and make decisions based on enterprise data. They connect to existing systems to access current information stored within organizational boundaries. The distinction between NeMo and Nvidia's Inference Microservices, branded as NIMs, lies in their complementary functions. According to Joey Conway, Nvidia's senior director of generative AI software for enterprise, 'NIMs is used for inference deployments – running the model, questions-in, responses-out. NeMo is focused on how to improve that model: Data preparation, training techniques, evaluation.' When NeMo finishes optimizing a model, it can be deployed through a NIM for production use. Early implementations demonstrate practical business impacts. Telecommunications software provider Amdocs developed three specialized agents using NeMo microservices. AT&T collaborated with Arize and Quantiphi to build an agent that processes nearly 10,000 documents updated weekly. Cisco's Outshift unit partnered with Galileo to create a coding assistant that delivers faster responses than comparable tools. The microservices run as Docker containers orchestrated through Kubernetes, allowing deployment across various computing environments. They support multiple AI models including Meta's Llama, Microsoft's Phi family, Google's Gemma and Mistral. Nvidia's own Llama Nemotron Ultra, which focuses on reasoning capabilities, is also compatible with the system. This release enters a competitive landscape where enterprises have numerous AI development options. Alternatives include Amazon's Bedrock, Microsoft's Azure AI Foundry, Google's Vertex AI, Mistral AI, Cohere and Meta's Llama stack. Nvidia differentiates its offering through integration with its hardware ecosystem and enterprise-grade support through the AI Enterprise software platform. Nvidia Nemo and Enterprise AI Adoption For technical teams, the microservices provide infrastructure that reduces implementation complexity. The containerized approach allows deployment on premises or in cloud environments with enterprise security and stability features. This flexibility addresses data sovereignty and regulatory compliance concerns that often accompany AI implementations. Organizations evaluating these tools should consider their existing GPU infrastructure investments, data governance requirements and integration needs with current systems. The need for AI agents that maintain accuracy with changing business data will drive adoption of platforms that support continuous learning cycles. The microservices approach reflects a broader industry shift toward modular AI systems that can be customized for specific business domains without rebuilding fundamental components. For technology decision makers, the release represents another step in the maturation of enterprise AI tooling that narrows the gap between research capabilities and practical business implementations. As enterprises move beyond experimentation toward production AI systems, tools that simplify the creation of continually improving models become increasingly valuable. The data flywheel concept represents an architecture pattern where AI systems remain aligned with business needs through ongoing exposure to organizational information.
Globe and Mail
24-04-2025
- Business
- Globe and Mail
Nvidia Stock Is Staring Down a New $1 Trillion Opportunity. How Should You Play NVDA Here?
Nvidia (NVDA) shares are inching up on Thursday, April 24 after the artificial intelligence behemoth rolled out a new software platform dubbed 'NeMo' that helps enterprises build custom AI agents. With the launch of NeMo microservices, the chipmaker wants to strengthen its footprint in autonomous AI agents, which the Wall Street Journal expects will replace enterprise software over time. Despite today's surge, Nvidia stock is down some 30% versus its year-to-date high. NeMo Is a Massive Opportunity for Nvidia Stock NeMo microservices could prove a meaningful tailwind for NVDA this year as 'autonomous AI agents' is an estimated $1 trillion market opportunity. Plus, being a software platform, it doesn't run the risk of coming in the crosshairs of tariffs or the rising trade tensions between the U.S. and China. In contrast, Nvidia's chips business stands to lose about $5.5 billion in the wake of escalating trade tensions between two of the world's largest economies in Q1. Still, Piper Sandler reiterated its 'Overweight' rating on Nvidia shares on Thursday. The firm's $150 price target indicates potential upside of about 45% from current levels. NVDA Remains a Top AI Pick for 2025 Despite emerging challenges, experts continue to believe in NVDA's long-term potential. Doug Clinton, the founder and chief executive of Intelligent Alpha, for example, dubbed Nvidia stock a 'top pick' for AI exposure in his recent interview with CNBC. Clinton believes U.S. hyperscalers will continue to spend on the company's AI chips even if the economy slides into a recession in 2025. The AI stock remains attractive also because it's going for 24 times forward earnings at the time of writing - well below its average forward price-earnings multiple over the past five years, he added. Consensus Rating on NVDA Shares Is Still a 'Strong Buy' Note that other Wall Street analysts remain largely bullish on NVDA as well. The consensus rating on Nvidia stock currently sits at 'Strong Buy' with the mean target of about $168 indicating potential upside of 60% from here.
Mint
23-04-2025
- Business
- Mint
Nvidia thinks it has a better way of building AI agents
Nvidia is getting into the artificial intelligence agents game with the release of a software platform that helps businesses build their own autonomous bots. The platform, called NeMo microservices, is available for all customers to use to build their 'AI teammates," the chip maker said Wednesday. The Santa Clara, Calif.-based company said it has developed a better way of building AI agents that relies on open-source AI models like those provided by Meta Platforms and the startup Mistral AI. Nvidia is betting on open-source, or open-weight, AI technologies because they tend to offer businesses more flexibility and control than proprietary models. Popular proprietary models are offered by vendors like OpenAI and Anthropic. AI models that are open-weight share the numerical parameters, or 'weights," that underlie them. That flexibility is critical for enterprises with a lot of confidential data but still want to use agents, said Joey Conway, a senior director of generative AI software for enterprise at Nvidia. 'We wanted to focus on places where enterprises need the full control of open-weight models," Conway said. 'And we don't see much of the market moving there." Nvidia joins the ranks of companies like OpenAI, Microsoft, Amazon and Google that aim to help businesses build their own AI agents, which are technologies that can independently perform tasks across various functions. Nvidia pegs the size of the AI agent market at $1 trillion—roughly the same as the enterprise software market that it predicts agents will replace. But over the past year, the technology has struggled to gain widespread adoption among enterprises. It has been difficult for developers to train models while readying their corporate data, Conway said. That's one gap Nvidia's NeMo microservices aims to fill, he said, by making agent-building easier with a system for incorporating private business data. By selling software for agents, Nvidia continues a tactic it started with its popular Compute Unified Device Architecture, or CUDA, a programming language that lets developers write applications for graphics processing units. That strategy of selling software alongside hardware keeps Nvidia's GPU business strong, said Dave McCarthy, a research vice president at research firm International Data Corp. Another reason businesses might want to use Nvidia's software to build agents is because it isn't tied to any particular cloud platform, McCarthy added. 'In many cases, it's an easy choice for an enterprise to say, 'If you don't want to lock yourself into a particular cloud provider or hardware company, Nvidia is a good choice,'" he said. Write to Belle Lin at
