The next strategic inflection point in computing will be the cloud expanding to the edge, involving highly parallel computer architectures connected to hundreds of billions of IoT devices. Nvidia is uniquely positioned to dominate that ecosystem, and if it does indeed acquire Arm within the next few weeks as expected, full control of the Arm architecture will virtually guarantee its dominance.
Every 15 years, the computer industry goes through a strategic inflection point, or as Jefferies US semiconductors analyst Mark Lipacis calls it, a tectonic shift, that dramatically transforms the computing model and realigns the leadership of the industry. In the ’70s the industry shifted from mainframe computers, in which IBM was the dominant company, to minicomputers, which DEC (Digital Equipment Corporation) dominated. In the mid-’80s the tectonic shift was PCs, where Intel and Microsoft defined and controlled the ecosystem. Around the turn of the millennium, the industry shifted again