Nvidia, Intel Power AI Factories; $13.7B Edge Server Market

Several key developments are shaping the AI landscape. Supermicro and Lambda are collaborating to build AI factories equipped with NVIDIA GPUs and Intel Xeon processors, starting with a location in Ohio. This initiative aims to provide advanced AI capabilities to the Midwest, utilizing NVIDIA's GB200 and GB300 NVL72 racks for large-scale AI tasks. Meanwhile, the AI edge server market is predicted to reach $13.7 billion by 2031, growing at 20% annually, with companies like Dell, HPE, and Supermicro expanding their AI solutions. In 2024, the market was valued at $3.762 million. However, challenges persist. A WalkMe survey indicates that many employees are using AI tools without company approval or adequate training, leading to security risks and reduced productivity. Only 7.5% of employees have received extensive AI training. Martini.ai is proposing a standardized "Financial Autonomy Ladder" to help financial institutions measure and improve their AI adoption for credit intelligence and risk management. Investor sentiment towards AI is also shifting. Goldman Sachs notes a pause in the AI trade due to concerns about project profitability and bubble risks, as voiced by Sam Altman. Nvidia's upcoming earnings report is crucial for gauging the continued growth of the AI market. In contrast, San Jose is actively supporting AI startups with grants and resources, aiming to foster AI innovation in Silicon Valley. Accelya is integrating AI into its Sales Audit tool, FLX AIViator, to help airlines recover lost revenue faster by identifying missed revenue earlier in the auditing process. Furthermore, companies are grappling with securing AI rollouts. Many lack the necessary security and governance frameworks to use AI responsibly. In the UK, half of the adult population is concerned about AI's impact on jobs, particularly among younger workers. Finally, the University of Tennessee at Chattanooga (UTC) utilized AI in its security camera system, Volt AI, to assess a false active shooter report, demonstrating AI's potential in emergency response.

Key Takeaways

• Supermicro and Lambda are partnering to create AI factories with NVIDIA GPUs and Intel Xeon processors, starting in Ohio.
• The AI edge server market is projected to reach $13.7 billion by 2031, with a 20% annual growth rate.
• A WalkMe survey reveals that 78% of employees use AI tools without company approval, and only 7.5% have extensive training.
• Martini.ai proposes a "Financial Autonomy Ladder" to standardize AI adoption measurement in financial institutions.
• Goldman Sachs reports a pause in the AI trade due to profitability concerns and bubble risks, with Nvidia's earnings being a key indicator.
• San Jose is providing grants and support to AI startups to encourage innovation in Silicon Valley.
• Accelya is using AI in its Sales Audit tool, FLX AIViator, to help airlines recover lost revenue faster.
• Many companies lack the necessary security and governance to use AI responsibly.
• Half of UK adults are worried about AI's impact on jobs, especially among younger workers.
• The University of Tennessee at Chattanooga (UTC) used Volt AI to assess a false active shooter report.

Supermicro and Lambda Launch Gigawatt AI Factory with NVIDIA GPUs

Supermicro and Lambda have partnered to create large AI factories using NVIDIA Blackwell GPUs. The first location is at Cologix's data center in Columbus, Ohio, bringing advanced AI to the Midwest. Lambda is using Supermicro's servers, including those with NVIDIA HGX B200 and H200, powered by Intel Xeon processors. The AI Supercluster uses NVIDIA GB200 and GB300 NVL72 racks for big AI tasks. This collaboration strengthens Supermicro's role in the growing AI infrastructure market.

Supermicro and Lambda Expand AI with NVIDIA Blackwell Servers

Super Micro Computer and Lambda are working together to expand AI infrastructure using NVIDIA Blackwell-based servers. The project started in June at Cologix’s data center in Columbus, Ohio, giving the Midwest access to new AI technology. Lambda is using Supermicro systems like SYS-A21GE-NBRT with NVIDIA HGX B200 and SYS-821GE with NVIDIA HGX H200, all powered by Intel Xeon processors. A key part is Supermicro’s AI Supercluster with NVIDIA GB200 and GB300 NVL72 racks, made for big AI jobs.

AI Edge Server Market to Reach $13.7 Billion by 2031

The global market for Intelligent AI Edge Servers is growing fast and is expected to reach $13.7 billion by 2031. This growth, at a rate of 20% per year, is driven by companies like Dell and HPE. In 2024, the market was worth $3.762 million with about 752,400 units shipped at $5,000 each. Dell is working with Vodafone in the UK, while HPE has updated its Edgeline EL8000 platform. Supermicro is expanding its AI solutions for retail.

WalkMe Survey Finds Employees Use AI Without Company Approval

A new survey by WalkMe found that many employees are using AI tools at work without their employer's permission. Nearly 80% of employees use unapproved AI, which can create security risks. While 80% believe AI improves productivity, almost 60% say it takes longer to learn AI than to do tasks manually. Only 7.5% of employees have received extensive AI training, leading to wasted time and money for companies.

WalkMe Survey Shadow AI Rampant Training Lacking

A WalkMe survey reveals that many employees are using AI tools without company approval or proper training. About 78% of employees use unapproved AI, and only 7.5% have received extensive training. This lack of training leads to security risks and wasted productivity. Almost half of workers have pretended to know how to use AI to avoid looking bad. WalkMe suggests that companies need better digital adoption strategies to manage AI risks and get the most out of their AI investments.

Martini.ai Suggests Standard Automation for Financial Institutions

Martini.ai is proposing a standard way for financial institutions to measure their progress in using AI for credit intelligence. This "Financial Autonomy Ladder" will help banks adopt better risk management and compare themselves to others. The ladder has six levels, from no AI to AI making decisions and strategies. Martini.ai wants industry groups and regulators to use this standard. The goal is to help companies act faster and manage risk better.

AI Hype Slows Nvidia Earnings Key

The excitement around AI stocks is cooling off because of weak financial results and concerns about a bubble. Goldman Sachs says that the AI trade is pausing due to negative news, including worries about project profits and comments from Sam Altman about a possible bubble. Investors are now waiting for Nvidia's earnings report to see if the AI market will continue to grow. Some experts believe that future AI progress will depend on new ideas, not just more computing power.

San Jose Supports AI Startups with Incentive Program

San Jose is helping AI startups by giving them grants and support. Four companies were chosen from over 170 applicants to receive funding and advice. The winning startups include Elythea, Metafoodx, CLIKA, and Satlyt, which focus on maternal health, food waste reduction, and AI hardware. The city hopes this program will encourage AI growth in Silicon Valley. The startups will also get help with real estate, legal services, and IT.

Accelya Uses AI to Help Airlines Recover Revenue Faster

Accelya is adding AI to its Sales Audit tool to help airlines find and recover lost revenue more quickly. The AI, called FLX AIViator, can identify over 60% of missed revenue earlier in the auditing process. This allows airlines to get their money back in weeks instead of months. Accelya's AI also includes a virtual assistant that helps with resolving financial questions. The new AI features will speed up audits, improve accuracy, and handle large amounts of data.

CISOs Struggle to Secure AI Rollouts Without Slowing Growth

IT leaders are excited about AI, but many aren't ready to handle the security and legal risks. A new study shows that most companies lack the necessary security and governance to use AI responsibly. While many are adopting AI, especially for security and productivity, they struggle to keep data secure. Data governance is seen as a key way to protect data in AI systems, but many companies aren't confident in their ability to measure the return on investment in data security.

Nvidia Earnings to Impact AI Leveraged ETF Market

The AI boom has led to a surge in leveraged single stock ETFs, which are now dominated by AI-related companies. These ETFs use leverage to magnify returns, attracting investors who want to bet on AI. Nvidia's upcoming earnings announcement is expected to significantly impact these ETFs. While these products offer high potential gains, they also carry significant risks due to price swings in the underlying stocks.

UK Workers Worry AI Will Change or Take Their Jobs

A new poll shows that half of UK adults are worried about how AI will affect their jobs. The biggest concerns are job losses and changes to working conditions. Young workers, especially those aged 25 to 34, are particularly concerned. Union leaders are calling for workers and unions to be involved in how AI is used in workplaces. They want to protect jobs and provide training for those whose jobs are replaced by AI.

UTC Used AI in False Active Shooter Call Response

The University of Tennessee at Chattanooga (UTC) used AI technology to respond to a false report of an active shooter. The university's security camera system, equipped with Volt AI, helped assess the situation. Volt AI can detect weapons, fights, and other emergencies. During the incident, the AI system showed that the first weapon detected was when officers entered the building, suggesting the call was a hoax. The university plans to expand the use of AI on campus.

Sources

• Gigawatt-Scale AI Factory: Supermicro and Lambda Launch Massive NVIDIA Blackwell GPU Infrastructure in Midwest
• Supermicro, Lambda Expand AI Infrastructure With Nvidia Blackwell-Powered Servers
• Global Intelligent AI Edge Server Sales Market to Reach USD 13703 Million by 2031 with 20% CAGR Driven by Dell and HPE
• Employees Left Behind in Workplace AI Boom, New WalkMe Survey Finds
• New WalkMe Survey Shows Shadow AI Is Rampant; Training Gaps Undermine AI ROI
• Martini.ai proposes Industry-Wide Automation Standards for FIs
• AI hype deflates on weak returns and bubble talk — Nvidia earnings now the make-or-break
• San Jose Supports Startups Through AI Incentive Program
• Accelya integrates AI into Sales Audit to...
• CISOs under pressure to keep data secure during AI rollouts without harming growth
• Nvidia to set tone for booming AI leveraged ETF market
• Half of UK adults worry that AI will take or alter their job, poll finds
• How law enforcement at UTC used AI technology when responding to a false active shooter call