Nvidia is expanding the future of e-commerce
Level 2-Value Investor
Omniverse enables engineers and designers to build physically accurate digital twins of buildings and products, or create massive, true-to-reality simulation environments for training robots or autonomous vehicles before they're deployed in the physical world augmenting real-world data, and basically simulating how the real world functions. This is the expansion we will have in parts of the Metaverse that will play out into things we need in real life and this is the company going after that pursuit.
New Omniverse Technologies and Features
New capabilities launched today for Omniverse include:
Omniverse Avatar, a technology platform which connects NVIDIA technologies in speech AI, computer vision, natural language understanding, recommendation engines and simulation technologies to generate interactive AI avatars.
Omniverse Replicator, a powerful engine that generates synthetic data for training deep neural networks.
In addition, there are several new features within Omniverse, including:
NVIDIA CloudXR, an enterprise-class immersive streaming framework, has been integrated into Omniverse Kit — a toolkit for building native Omniverse applications and microservices — allowing users to interactively stream Omniverse experiences to their mobile AR and VR devices.
Omniverse VR introduces the world’s first full-image, real-time ray-traced VR — enabling developers to build their own VR-capable tools on the platform, and end users to enjoy VR capabilities directly.
Omniverse XR Remote provides AR capabilities and virtual cameras, enabling designers to view their assets fully ray traced through iOS and Android devices.
Omniverse Farm lets teams use multiple workstations or servers together to power jobs like rendering, synthetic data generation or file conversion.
Omniverse Showroom, available as an app in Omniverse Open Beta, lets nontechnical users play with Omniverse tech demos that showcase the platform’s real-time physics and rendering technologies.
With games like roblox we see actual users playing in cities but we don’t have exactly what Nvidia is trying to offer with Omniverse using Avatars for this special purpose, Omniverse — a platform that serves as the connective tissue for physically accurate 3D virtual worlds — is gaining new features such as AR, VR and multi-GPU rendering, as well as integrations for infrastructure and industrial digital-twin applications with software. There could also be a wide use of robotic avatars that could change the way people shop online. For example, Huang mentioned on the earnings call that there are approximately 25 million retail stores. Each of those stores could have a robotic avatar powered by artificial intelligence to assist you with checkout or browsing merchandise !
Nvidia Omniverse is essentially laying the infrastructure for the future of e-commerce. It also has practical applications for companies that can use Omniverse to create replications of buildings, factories, and cities to help optimize logistics and other business operations. It's a monster growth opportunity for Nvidia.
How big an opportunity is Omniverse?
During the earnings call, Huang referenced an annual license fee of $1,000 per user to use Omniverse. There are an estimated 40 million creators and designers around the world and on top of that each year we have children being born into the Metaverse ( roblox ) learning to create and code. 3/4 of 9-12 year olds in US use roblox.. Very bullish. So this puts us at valuation of 40 billion.
However, there is more to the opportunity here. The $40 billion figure excludes the extra sales of graphics processing units (GPUs) that users will buy for their PC or cloud servers in order to run Omniverse, which can run on any device using Nvidia's RTX graphics technology. The price mark of $1,000 is still insanely high and although many cannot afford this, many businesses launching will see this as an essential to their future. For now we are only seeing examples of world use within the physical realm supporting brick and motor businesses, but this could move into a way bigger thing. At the end of the day we have a huge door for the market since any consumer laptop equipped with an RTX graphics card can use Omniverse.
Nvidia is really building a very lucrative flywheel around its hardware chip business with software platforms, which should continue to push Nvidia's gross margin and profits up over time.
All of this explains why Huang calls Omniverse the company's largest graphics opportunity.
Anyway this is all super cool, I’ve been using Nvidia for super long on my PC I’m very interested to see what they are doing here.
Just a fox, not legal or financial advice.
Not simulation advice either.