Shares of AMD (NASDAQ:AMD) are down more than 6% on Tuesday after NVIDIA (NASDAQ:NVDA) revealed its latest generation of artificial intelligence chips, Blackwell.
NVIDIA CEO Jensen Huang announced the new chips at the company's developers conference on Monday in San Jose, California. He said they are more powerful than the current generation of Hopper graphics processing units, which have been in high demand for running large AI models.
According to the company, GB200 is NVIDIA's first Blackwell chip and will ship later this year. Huang told CNBC that his company had "to invent some new technology to make it possible."
The news has resulted in rival AMD's stock price declining more than 6%, falling below $178 per share. At the time of writing, it trades at $179.10.
Analysts at Mizuho stated: "Obviously, AMD down 3% on competitive worry around their MI300 that now looks a lot more pedestrian and NVDA really talking up B100 for inference (where MI300 best positioned)."