Nvidia has earned billions selling AI accelerators, but with the emergence of agentic AI, CPUs are going to play a considerably more significant role than before, which creates new opportunities for the company. Reuters reports that Nvidia has secured a major design win with its Vera CPUs with AI cloud provider Modal. According to Modal, preliminary evaluations showed that Vera could deliver twice the throughput of its existing AMD and Intel processors, although the company does not intend to cease using CPUs from its current suppliers.
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Modal provides cloud infrastructure that enables AI developers to deploy AI agents that can perform complex operations autonomously over extended periods. Such workloads require substantial CPU resources for software execution, data processing, and other tasks that cannot be efficiently handled by GPUs. Modal currently relies exclusively on AMD and Intel processors for these operations, but its tests indicate that Nvidia's new Vera CPUs could significantly improve performance in its specific workloads. Of course, since Vera is based on an Arm instruction set architecture, Modal's decision to adopt Vera will require substantial modifications to its software. Nevertheless, Modal believes that the potential performance improvements justify the additional engineering effort.
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