Nvidia (NVDA) Expands AI Ventures with Indian Giants for Future Growth

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Nvidia (NVDA, Financial), a leading AI chip manufacturer, is deepening collaborations with major Indian corporations such as Reliance Industries and Infosys, highlighting India's strategic importance for Nvidia's growth. Nvidia recently hosted a three-day AI summit in Mumbai, showcasing its commitment to the burgeoning AI market in the world's most populous country.

During the summit, Nvidia introduced the Nemotron-4-Mini-Hindi-4B, a lightweight AI model designed for India's widely spoken Hindi language. This model, equipped with 4 billion parameters, aims to aid businesses in developing customized AI solutions. Nvidia's CEO, Jensen Huang, discussed AI opportunities in India with Mukesh Ambani, chairman of Reliance Group, underscoring plans to assist Tech Mahindra in constructing a large language model (LLM) for Indian languages, and collaborate with Flipkart on conversational customer service systems.

Tech Mahindra, a prominent Indian IT services company, is the first to use Nvidia's technology to create a custom AI model named Indus 2.0, focusing on Hindi and its numerous dialects. Nvidia emphasized the linguistic diversity in India, where only a tenth of the 1.4 billion population speaks English, and the constitution recognizes 22 official languages.

In addition to these initiatives, Nvidia is partnering with Indian healthcare companies to enhance patient care and research productivity. Nvidia has been active in India for 20 years, with operations in Bangalore and development centers across three other cities, employing approximately 4,000 engineers.

About a year ago, Nvidia formalized AI data center agreements with Reliance and other local conglomerates. In August, Ambani announced the development of AI tools branded as JioBrain, emphasizing AI's critical role by mentioning it extensively at Reliance's shareholder meeting. With India aggressively promoting its semiconductor industry to compete with countries like Taiwan, global chip companies are investing in India to expand their influence.

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I/We may personally own shares in some of the companies mentioned above. However, those positions are not material to either the company or to my/our portfolios.