Nvidia, the leading producer of artificial intelligence (AI) chips, is facing increasing competition from startups that are developing specialized chips for AI applications. These startups, such as Cerebras Systems, Graphcore, and SambaNova Systems, are challenging Nvidia’s dominance by offering chips designed specifically for AI workloads. While Nvidia’s chips are versatile and widely used, the specialized chips from these startups can potentially offer better performance and efficiency for certain AI tasks. This competition could pose a threat to Nvidia’s market capitalization, which has soared to over $1 trillion due to the company’s success in the AI chip market. However, Nvidia remains a formidable force with its extensive resources and established ecosystem. The battle between Nvidia and the AI chip startups will likely shape the future of the AI hardware industry.