Semiconductors

NVIDIA powers a new wave of specialised AI agents to transform business

Agentic AI has entered a new phase as companies rely on specialised systems instead of broad, one-size-fits-all models.

Open-source foundations, such as NVIDIA’s Neuron family, now allow organisations to combine internal knowledge with tailored architectures, leading to agents that understand the precise demands of each workflow.

Firms across cybersecurity, payments and semiconductor engineering are beginning to treat specialisation as the route to genuine operational value.

CrowdStrike is utilising Nemotron and NVIDIA NIM microservices to enhance its Agentic Security Platform, which supports teams by handling high-volume tasks such as alert triage and remediation.

Accuracy has risen from 80 to 98.5 percent, reducing manual effort tenfold and helping analysts manage complex threats with greater speed.

PayPal has taken a similar path by building commerce-focused agents that enable conversational shopping and payments, cutting latency nearly in half while maintaining the precision required across its global network of customers and merchants.

Synopsys is deploying agentic AI throughout chip design workflows by pairing open models with NVIDIA’s accelerated infrastructure. Early trials in formal verification show productivity improvements of 72 percent, offering engineers a faster route to identifying design errors.

The company is blending fine-tuned models with tools such as the NeMo Agent Toolkit and Blueprints to embed agentic support at every stage of development.

Across industries, strategic steps are becoming clear. Organisations begin by evaluating open models before curating and securing domain-specific data and then building agents capable of acting on proprietary information.

Continuous refinement through a data flywheel strengthens long-term performance.

NVIDIA aims to support the shift by promoting Nemotron, NeMo and its broader software ecosystem as the foundation for the next generation of specialised enterprise agents.

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Japan boosts Rapidus with major semiconductor funding

Japan will inject more than one trillion yen (approximately 5.5 billion €) into chipmaker Rapidus between 2026 and 2027. The plan aims to fortify national economic security by rebuilding domestic semiconductor capacity after decades of reliance on overseas suppliers.

Rapidus intends to begin producing 2-nanometre chips in late 2027 as global demand for faster, AI-ready components surges. The firm expects overall investment to reach seven trillion yen and hopes to list publicly around 2031.

Japanese government support includes large subsidies and direct investment that add to earlier multi-year commitments. Private contributors, including Toyota and Sony, previously backed the venture, which was founded in 2022 to revive Japan’s cutting-edge chip ambitions.

Officials argue that advanced production is vital for technological competitiveness and future resilience. Critics to this investment note that there are steep costs and high risks, yet policymakers view the Rapidus investment as crucial to keeping pace with technological advancements.

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EU approves funding for a new Onsemi semiconductor facility in the Czech Republic

The European Commission has approved €450 million in Czech support for a new integrated Onsemi semiconductor facility in Rožnov pod Radhoštěm.

A project that will help strengthen Europe’s technological autonomy by advancing Silicon Carbide power device production instead of relying on non-European manufacturing.

The Czech Republic plans to back a €1.64 billion investment that will create the first EU facility covering every stage from crystal growth to finished components. These products will be central to electric vehicles, fast charging systems and renewable energy technologies.

Onsemi has agreed to contribute new skills programmes, support the development of next-generation 200 mm SiC technology and follow priority-rated orders in future supply shortages.

The Commission reviewed the measure under Article 107(3)(c) of the Treaty on the Functioning of the EU and concluded that the aid is necessary, proportionate and limited to the minimum required to trigger the investment.

In a scheme that addresses a segment of the semiconductor market where the EU lacks sufficient supply, which improves resilience rather than distorts competition.

The facility is expected to begin commercial activity by 2027 and will support the wider European semiconductor ecosystem.

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Nokia to invest 4 billion in AI-ready US networks

Nokia has announced a $4 billion expansion of its US research, development, and manufacturing operations to accelerate AI-ready networking technologies. The move builds on Nokia’s earlier $2.3 billion US investment via Infinera and semiconductor manufacturing plans.

The expanded investment will support mobile, fixed access, IP, optical, data centre networking, and defence solutions. Approximately $3.5 billion will be allocated for R&D, with $500 million dedicated to manufacturing and capital expenditures in Texas, New Jersey, and Pennsylvania.

Nokia aims to advance AI-optimised networks with enhanced security, productivity, and energy efficiency. The company will also focus on automation, quantum-safe networks, semiconductor testing, and advanced material sciences to drive innovation.

Officials highlight the strategic impact of Nokia’s US investment. Secretary of Commerce Howard Lutnick praised the plan for boosting US tech capacity, while CEO Justin Hotard said it would secure the future of AI-driven networks.

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Armenia promotes AI partnership during ambassador’s meeting with Apple in Cupertino

Armenia’s ambassador, Narek Mkrtchyan, has met senior Apple representatives in Cupertino to discuss expanding the company’s activities in the country. The visit included talks with Jason Lundgaard, Apple’s senior director for international cooperation at corporate government affairs.

The ambassador outlined the Armenia–US memorandum on AI and semiconductor cooperation signed on 8 August and highlighted Armenia’s technology ecosystem and investment potential. Both sides explored areas for collaboration and the conditions under which Apple could expand its presence.

Apple plans to send a delegation to Armenia in the coming period to assess opportunities for growth and engagement with local institutions. The discussions signalled early steps toward a more structured partnership.

During the meeting, the ambassador thanked Mr Lundgaard for supporting the launch of Apple’s first educational programme at the Armenian College of Creative Technologies. The initiative forms part of a wider effort to strengthen skills development in Armenia’s digital sector.

Both sides reiterated their commitment to deepen cooperation and expand the educational partnership as Armenia positions itself as a regional hub for advanced technologies.

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AI data centre boom drives global spike in memory chip prices

The rapid expansion of AI data centres is pushing up memory chip prices and straining an already tight supply chain. DRAM costs are rising as manufacturers prioritise high-bandwidth memory for AI systems, leaving fewer components available for consumer devices.

The shift is squeezing supply across sectors that depend on standard DRAM, from PCs and smartphones to cars and medical equipment. Analysts say the imbalance is driving up component prices quickly, with Samsung reportedly raising some memory prices by as much as 60%.

Rising demand for HBM reflects the needs of AI clusters, which rely on vast memory pools alongside GPUs, CPUs and storage. But with only a handful of major suppliers, including Samsung, SK Hynix, and Micron, the surge is pushing prices across the market higher.

Industry researchers warn that rising memory costs will likely be passed on to consumers, especially in lower-priced laptops and embedded systems. Makers may switch to cheaper parts or push suppliers for concessions, but the overall price trend remains upward.

While memory is known for cyclical booms and busts, analysts say the global race to build AI data centres makes it difficult to predict when supply will stabilise. Until then, higher memory prices look set to remain a feature of the market.

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US administration pushes back on proposal to restrict Nvidia sales to China

The White House is urging Congress to reject a bipartisan proposal that would restrict Nvidia from selling advanced AI chips to China and other countries subject to an embargo. The GAIN AI Act would require chipmakers to prioritise US buyers before exporting high-performance hardware.

Lawmakers are debating whether to attach the provision to the annual defence spending bill, a move that could accelerate approval. The White House intervention represents a significant win for Nvidia, which has lobbied to maintain export flexibility amid shifting trade policies.

China was previously a significant market for Nvidia, but the firm has pared back expectations due to rising geopolitical risks. Beijing has also increased scrutiny of US-made chips as it pushes for self-reliance in AI and semiconductor technology.

The policy discussions come shortly after Nvidia posted stronger-than-expected third-quarter earnings and issued an upbeat outlook. CEO Jensen Huang has pushed back against concerns of an AI-driven valuation bubble, arguing demand remains robust.

Nvidia’s shares rose 5 percent after hours following the earnings report, reflecting investor confidence as Washington continues to debate the future of AI chip export controls.

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Foxconn and OpenAI strengthen US AI manufacturing

OpenAI has formed a new partnership with Foxconn to prepare US manufacturing for a fresh generation of AI infrastructure hardware.

The agreement centres on design support and early evaluation instead of immediate purchase commitments, which gives OpenAI a path to influence development while Foxconn builds readiness inside American facilities.

Both companies expect rapid advances in AI capability to demand a new class of physical infrastructure. They plan to co-design several generations of data centre racks that can keep pace with model development instead of relying on slower single-cycle upgrades.

OpenAI will share insight into future hardware needs while Foxconn provides engineering knowledge and large-scale manufacturing capacity across the US.

A key aim is to strengthen domestic supply chains by improving rack architecture, widening access to domestic chip suppliers and expanding local testing and assembly. Foxconn intends to produce essential data centre components in the US, including cabling, networking, cooling and power systems.

The companies present such an effort as a way to support faster deployment, create more resilient infrastructure and bring economic benefits to American workers.

OpenAI frames the partnership as part of a broader push to ensure that critical AI infrastructure is built within the US instead of abroad. Company leaders argue that a robust domestic supply chain will support American leadership in AI and keep the benefits widely shared across the economy.

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Diplomatic progress slows Nexperia crisis

The Dutch government has paused its intervention in chipmaker Nexperia after officials described promising diplomatic progress with China, easing a months-long standoff that had disrupted global supply chains. The suspension follows talks in which Beijing began relaxing export limits it had imposed on Nexperia’s finished chips, restrictions that had deepened shortages for major carmakers including BMW, Honda, Nissan, Volkswagen, and Bosch.

The dispute began in September when the Netherlands seized control of Nexperia from its Chinese owner Wingtech, invoking the Goods Availability Act, a Cold War-era law that had never been used before. Dutch authorities stated that the takeover was necessary to safeguard national security and prevent Wingtech founder Zhang Xuezheng from relocating production to China, citing allegations of mismanagement and attempts to undermine European operations.

Beijing retaliated by restricting chip exports, while management on both sides blocked shipments and orders amid a worsening internal corporate conflict.

Economy Minister Vincent Karremans stated that the government was encouraged by China’s efforts to restore chip supplies and would continue negotiations alongside European and international partners. The EU trade chief Maroš Šefčovič and several major automakers welcomed the announcement, though industry leaders cautioned that it remains too early to predict how quickly supply chains will stabilise.

With the Chinese side now selling stockpiled chips to ease shortages and the European side planning its response, the easing of tensions marks a temporary reprieve in a dispute that highlighted the fragility of Europe’s semiconductor dependencies and the geopolitical risks tied to them.

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AI energy demand strains electrical grids

Microsoft CEO Satya Nadella recently delivered a key insight, stating that the biggest hurdle to deploying new AI solutions is now electrical power, not chip supply. The massive energy requirements for running large language models (LLMs) have created a critical bottleneck for major cloud providers.

Nadella specified that Microsoft currently has a ‘bunch of chips sitting in inventory’ that cannot be plugged in and utilised. The problem is a lack of ‘warm shells’, meaning data centre buildings that are fully equipped with the necessary power and cooling capacity.

The escalating power requirements of AI infrastructure are placing extreme pressure on utility grids and capacity. Projections from the Lawrence Berkeley National Laboratory indicate that US data centres could consume up to 12 percent of the nation’s total electricity by 2028.

The disclosure should serve as a warning to investors, urging them to evaluate the infrastructure challenges alongside AI’s technological promise. This energy limitation could create a temporary drag on the sector, potentially slowing the massive projected returns on the $5 trillion investment.

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