What’s NVIDIA’s Go-to-Market Strategy for Autonomous Vehicles?

NVIDIA (NVDA) is a leading discrete GPU (graphics processing unit) provider and is expanding its customer base by identifying new verticals.

Puja Tayal - Author
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Nov. 20 2020, Updated 11:30 a.m. ET

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NVIDIA’s go-to-market strategy in automotive

NVIDIA (NVDA) is a leading discrete GPU (graphics processing unit) provider and is expanding its customer base by identifying new verticals where its GPU-accelerated computing platform can make a difference. Its go-to-market strategy starts with creating a market for its GPUs and then accelerating the adoption of its solutions.

The company first identifies the industry verticals in which it wants to enter, identifies the domain within the industry, works with industry leaders to understand the pain points, and then accelerates certain applications to resolve those pain points.

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NVIDIA’s biggest AI (artificial intelligence) vertical after data center is automotive, and within that, it is focusing on the autonomous driving domain. The company started working with the automotive supply chain to understand critical problems and resolve them with the help of AI.

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Cars

At the 2019 Investor Day, Robert Csongor, NVIDIA’s vice president and general manager of the Automotive business, stated that the company entered the autonomous driving domain with an aim to reduce the number of car accidents and the rising death toll from these accidents. Autonomous vehicles are divided into five levels with level five being a fully autonomous vehicle that can drive without human intervention.

NVIDIA is working with Volvo on Level 2+ autonomous vehicles that have the capability of supervised self-driving. It is working with Daimler on robo-taxis, which have Level 4 autonomy, and Toyota (TM) for Level 5 autonomy.

NVIDIA expands autonomous vehicle markets beyond cars

Now that NVIDIA has entered the autonomous driving market, it has moved to accelerate its adoption within other domains of the automotive industry. Its automotive vehicle market is expanding beyond cars to include trucks, mobility services like robo-taxis, and commercial vehicles like forklifts, earthmovers, delivery bots, and tractors. Thus NVIDIA’s automotive opportunity will likely increase in the future.

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