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Nvidia Discloses New AI Chip to Power Windows PCs

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Nvidia Discloses New AI Chip to Power Windows PCs

Nvidia (NVDA) has announced a new artificial intelligence chip to power Microsoft (MSFT) Windows personal computers, called RTX Spark, entering the consumer PC processor market.

RTX Spark delivers the full Nvidia AI and graphics technology stack to creators, AI developers and gamers, according to a joint statement on Sunday.

RTX Spark will be available this fall from manufacturers including ASUS, Dell (DELL), HP (HPQ), Lenovo, Microsoft Surface and MSI, to be followed by models from Acer and GIGABYTE.

"The PC is being reinvented," Nvidia Chief Executive Jensen Huang said. "For forty years, you launched apps. Click. Type. With RTX Spark and Microsoft Windows, you ask -- and the PC does the work."

These new PCs are designed for the era of personal AI agents, Nvidia said.

"This marks a key milestone in the rich, full-stack collaboration between Microsoft and Nvidia spanning gaming, AI and cloud -- from DirectX and RTX to Nvidia-accelerated AI workloads on Azure -- driving end-to-end innovation for our shared customers," Pavan Davuluri, executive vice president, Windows + Devices, said in a blogpost on Sunday. "These next-generation Windows PCs represent the next step on that journey."

RTX Spark marks Nvidia's formal entry into the consumer PC processor market, Wedbush Securities said in a report on Monday.

"We believe (Nvidia's) previous work around using (graphics processing units) to enable AI workloads in PCs should benefit (its) push to define the agentic PC," Wedbush analyst Matt Bryson wrote. "But we also wonder how much even a successful implementation might mean for (Nvidia), given the ultimately small size of the PC market (vs. NVDA's accelerator business)."

Nvidia's foray into the AI-enhanced consumer PC business could hurt Intel (INTC) in particular, Bryson said.

Bryson sees "limited near-term competitive implications" from the Nvidia-Microsoft collaboration.

Nvidia said it is collaborating with Adobe (ADBE) to "rearchitect" Adobe Premiere and Photoshop for RTX Spark.

Shares of Nvidia were up 5% in Monday trading and Microsoft rose 2.6%. Adobe jumped 5.9%, while Intel fell 3.2%. Dell and HP gained 8.3% each.

Price: $221.79, Change: $+10.65, Percent Change: +5.04%

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