At CES 2025, Nvidia CEO Jensen Huang revealed several groundbreaking products, showcasing the company’s ambitions to expand its business across robotics, gaming, and automotive technology. The announcements highlighted innovations in AI, gaming chips, and collaborations, including a new deal with Toyota.
One of the key highlights was the introduction of Nvidia’s Cosmos foundation models, which use artificial intelligence to generate photo-realistic video for robot and self-driving car training. By creating “synthetic” training data, these models simulate physical environments much more affordably than traditional data collection methods. Unlike the typical approach of placing cars on the road or having humans demonstrate tasks, Cosmos can generate videos based on a text description, adhering to the laws of physics. The models will be made available on an “open license,” much like Meta Platforms’ Llama 3 language models, which have seen widespread use in the tech industry. Huang expressed hopes that Cosmos could revolutionize robotics and industrial AI similarly to the impact Llama 3 has had on enterprise AI.
Despite the excitement, analysts, including Vivek Arya from Bank of America, raised concerns about whether the new robotics technology would substantially boost Nvidia’s sales. Arya questioned the challenge of making the products both reliable and affordable enough to create viable business models, similar to the niche opportunities of autonomous vehicles or the metaverse.
In addition to robotics, Nvidia unveiled new gaming chips, part of the RTX 50 series, that use Nvidia’s Blackwell AI technology. These chips aim to enhance gaming graphics, particularly through ‘shaders’ that add realistic imperfections to objects in video games, such as fingerprint smudges on surfaces. The new chips are also designed to improve the realism of human faces, which is a critical area of focus for developers. Prices for the chips range from $549 to $1,999, with the high-end models set to launch on January 30, followed by lower-tier models in February. Analysts, including Ben Bajarin of Creative Strategies, expect these chips to drive short-term sales growth for Nvidia.
Nvidia also debuted its first desktop computer, Project DIGITS, which is designed for software developers rather than regular consumers. Priced at $3,000, the computer runs on Nvidia’s Linux-based operating system and includes the same AI chip used in the company’s data center products. The desktop, which features a central processor co-designed with Taiwan’s MediaTek, is expected to help individual developers quickly test their AI systems. Project DIGITS will be available in March.
Additionally, Huang announced that Toyota Motor will integrate Nvidia’s Orin chips and automotive operating system into several of its models to power advanced driver assistance features. Although the company did not specify which models would feature the technology, the partnership signifies a growing presence in the automotive sector. Nvidia projects automotive hardware and software revenue will reach $5 billion by fiscal 2026, up from an expected $4 billion in the current year.
Nvidia’s stock surged to a record high of $149.43, increasing its market valuation to $3.66 trillion, making it the second-most valuable listed company in the world, behind Apple.
