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AI to Revolutionize Operations for Greater Efficiency

by VARINDIA 2024-10-01

In the competitive landscape, operational efficiency is now about more than just reducing costs; it includes increasing agility, accuracy, and speed. Top Indian companies are leveraging AI to achieve these objectives. This shift not only enhances performance but also positions these firms as leaders in their sectors.

AI is set to revolutionize operations across industries by automating tasks, streamlining processes, and enhancing decision-making. At the same time, advanced analytics and machine learning allow companies to predict outcomes, manage resources better, and deliver personalized customer experiences.

As demand grows, AI hardware companies are advancing their technologies by integrating AI capabilities into their products. Initially focused on CPUs and data center technologies, many of these firms are now expanding their scope to produce increasingly powerful and efficient AI chips for maintaining market leadership.

Today, 14% of PCs shipped globally in Q2 2024 were AI-capable. In Q2 2024, 14% of globally shipped PCs were AI-capable, totaling 8.8 million units. These PCs include dedicated AI workload components like NPUs. Shipments of Windows PCs priced above $800 increased by 9%, with AI-capable models rising by 126%.

The manufacturing sector in India is embracing AI technology and revolutionizing its operations. A recent poll indicated that nearly 60% of channel partners expect customers to prefer devices featuring an AI-specific key. The demand for AI-capable PCs is expected to grow significantly in the latter half of 2024 as major vendors ramp up production.

Secondly, HP, Dell, and Lenovo have introduced AI-based servers in India, positioning themselves to meet the growing demand for advanced computing solutions. The launch of AI servers reflects their commitment to driving innovation and supporting the digital transformation in the region.

However, The India Cloud GPU market is set to experience remarkable growth, projected to increase from USD 80.21 million in 2023 to USD 1,319.54 million by 2032. This reflects an impressive compound annual growth rate (CAGR) of 36.50%.

Let’s look at Magnificent Ten: A Look at their AI Hardware Performance

# Alphabet‘s Google Unveils Cloud TPU v5p for Large Language Models and Generative AI.
# AMD’s Zen 5, powering the next generation of Epyc and Ryzen processors are designed to offer enhanced performance, efficiency, and scalability for data centers, desktops, and other computing environments.
# Apple’s Neural Engine, has significantly boosted the company's hardware design and performance. This technology led to the development of the M1 chip.
# AWS’s Elastic Compute Cloud Trn1 instances are designed specifically for deep learning and large-scale generative AI models, utilizing AWS Trainium chips as AI accelerators.
# Cerebras has gained attention with its third-generation wafer-scale engine, WSE-3, which is considered the fastest processor globally.
# IBM’s Telum is aims to build on the strengths of Telum, targeting the demands of modern AI applications and solidifying IBM's position in the rapidly evolving landscape of AI technology.
# Intel has made strides in the CPU market with its Xeon 6 processors launched in 2024, designed specifically for AI applications.
# Nvidia’s A100 chip and Volta GPU, which are essential for data-intensive AI models. The AI-driven hardware tailored for the gaming industry, highlighting its diverse applications in various sectors.
# Qualcomm's Cloud AI 100 chip outperformed Nvidia's H100 in several tests, specifically in the number of data center server queries handled per watt.
# Tenstorrent’s product line-up includes Wormhole processors and Galaxy servers, collectively creating the Galaxy Wormhole Server.

The tech landscape is dominated by these “Magnificent Ten" are not only market giants but also pioneers in innovation across diverse sectors, including consumer electronics, cloud computing, and artificial intelligence.

This year Channel Leadership Survey (CLS 2024) finds, the future of AI in industries presents numerous opportunities, particularly through its convergence with emerging technologies like IoT and edge computing. Secondly, Data centers in India are increasingly investing in GPUs (Graphics Processing Units) to optimize AI workloads, especially in sectors like healthcare, finance, and autonomous driving that require real-time data processing.

At the same time, there is increasing demand for high-performance computing (HPC) within industries such as defense, finance, and healthcare, is driving the demand for on premise deployments in global market. Another emerging trend is the repatriation of workloads from hyperscale cloud to private cloud. A lack of visibility, control and governance in hyperscale clouds can lead to unexpected expenses. As a result, there are 45% organisations are returning their workloads to dedicated private clouds. Moving forward, the rapid advancements of AI in enhancing operational efficiency across various sectors in India are remarkable, AI is transforming the way organizations function.