Nvidia’s latest impressive advancements in artificial intelligence (AI) and those of other tech companies for that matter like Amazon, Apple, Intel, Google’s Alphabet, Microsoft, Facebook and IBM are inarguably reshaping the face of computing and industry. By solving highly complex technological and scientific challenges, AI through the use of cognitive systems and machine learning is helping revolutionize several industries, including the healthcare space. According to a report by Markets and Markets, AI’s use in medicine is expected to grow to $8 billion by 2022.
To tap into this multibillion-dollar opportunity, Nvidia (NASDAQ:NVDA) as a top chipmaking company that continues to define the graphic processing units (GPU) market thanks to the massive demand for its GPU technology, a technology that is powering the spread of AI across a growing range of fields, including self-driving cars, robotics, video analytics and AI computing platforms designed for the healthcare community, recently announced partnerships with General Electric’s healthcare segment GE Healthcare, and speech and imaging solutions provider Nuance Communications. GE and Nvidia issued a joint statement last month, revealing that the chipmaker’s AI platform will be used in GE Healthcare’s 500,000 imaging devices globally.
The scope of the partnership includes the announcement of the new Nvidia-powered Revolution Frontier CT, a new CT scan system which thanks to Nvidia’s AI platform and its new high speed optimized complier called Tensor RT can now process medical images at twice the speed of its predecessor. As a result, this new system will help drive lower radiation doses for patients, faster exam times and higher quality medical imaging. According to Nvidia, this is just one of the many benefits of using AI in medical imaging.
“Healthcare is changing at remarkable speed, and the technologies that will transform the industry should reflect that pace,” Kieran Murphy, President and CEO of GE Healthcare said in a statement.
Nuance, on the other hand, formed a partnership with Nvidia which will combine the chipmaker’s deep learning platform with Nuance’s PowerScribe radiology and PowerShare image exchange network. Nuance’s radiology reporting and medical image exchange network are used by 70% of all radiologists in the US.
The deal is designed to help health care institutions benefit from the rise of machine learning as a method of data analysis by offering access to trained imaging AI models. The rapid deployment and sharing of these models will eventually create an open AI marketplace for diagnostic imaging using Nvidia’s deep-learning platform. This combination will unavoidably help the widespread development of imaging AI models into the existing workflow of thousands of radiologists.
For Nvidia, the partnerships are another feather in its cap. Apart from the fact that the company’s shares have spiked by more than 100% year-to-date — currently trading at about $196 a share, giving the name a market cap of more than $118 billion — this company has made so far the right moves when it comes to proving that it’s more than just a graphics specialist. As their involvement in AI computing healthcare platform shows, Nvidia is focused on increasing its customer base by making high powered chips (Volta comes to mind as perhaps the most powerful and complex chip ever designed, delivering 120 trillion operations per second) that can be used across many platforms. In fact, AI-enabled medical imaging and diagnosis is projected to generate more than 40% growth with expectations to surpass $2.5 billion by 2024, According to Global Market Insights, this is a significant figure as it represents more than 25% of the total revenue generated by the chipmaker in the trailing 12 months.
Ultimately, Nvidia continues to prove that it’s much more than just a dominating force in gaming.
While investors should continue to watch its operational and financial performance, as a company that has a solid grasp on the processor industry, and revenues from sources such as professional visualization, data center, auto, and OEM & IP, Nvidia thanks to its AI focus, strong execution and rapidly-growing end-markets is certainly well-positioned for future growth.