Nvidia’s new chip has an overheating problem, says a technology publication

The new Blackwell chip is expected to be the next big driver of Nvidia’s growth.

The semiconductor giant An overheating problem has been detected in Nvidia’s new Blackwell chip intended for artificial intelligence computing, reports the news agency Reuters technology publication The Informationin based on information.

According to the site’s sources, Blackwell chips overheat when connected to each other in specially designed server racks.

According to the report, Nvidia has already on several occasions asked its suppliers to change the design of the server racks to solve the overheating problem.

Nvidia released a new Blackwell chip in March, and didn’t shy away from hyperbole. The company called its new flagship product “the world’s most powerful chip” and “superchip”.

The Blackwell CPU combines two GPUs into a single CPU so that they can work together. The product has 208 billion transistors, while the company’s previous flagship product has 80 billion transistors.

However, there have been problems in the production and delivery of Blackwell chips, which has forced the company to make changes to their production process.

In late August, during its second-quarter earnings release, the company said it had already sent samples of the Blackwell chip to its partners.

On the market The Blackwell chip’s first steps are being watched closely, as it is expected to be the next significant driver of Nvidia’s growth.

During the current year, the company’s share price has risen by as much as 187 percent, boosted by the artificial intelligence boom, because, for example, training so-called large language models requires enormous amounts of computing power.

The price increase has made Nvidia the world’s most valuable listed company. At Friday’s closing price, its market value is almost 3.5 trillion, or 3.5 thousand billion dollars.

Due to the skyrocketing valuation, strong growth figures are expected from the company in every earnings announcement, but also strong estimates of the company’s future financial success.

In August, Nvidia said it expects Blackwell chips to bring in “several billions worth” of sales in the fourth quarter of the year.

Further comments on the Blackwell chip situation are expected on Wednesday, when the company publishes its third quarter results.

By Editor

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