NVIDIA Corporation (NVDA.US) and Cisco Systems, Inc. (CSCO.US) deepen their cooperation to jointly promote enterprise AI deployment and infrastructure optimization.

NVIDIA Corporation (NVDA.US) as a leading supplier of new artificial intelligence computer chips, is currently expanding its partnership with network equipment manufacturer Cisco Systems, Inc. (CSCO.US) in order to make it easier for businesses to deploy AI systems. In a joint statement, the two companies stated that many businesses are still in the early stages of adopting AI systems due to the complexity it adds to data centers. To eliminate these barriers, both companies are expanding their product lists to include each other's technologies. NVIDIA Corporation provides network add-on components for its AI servers, known as Spectrum-X Ethernet. The product line will now include chips from Cisco Systems, Inc. that handle a wider range of connectivity functions. Cisco Systems, Inc. CEO Chuck Robbins stated in the declaration, "Businesses are facing immense pressure to rapidly and effectively deploy artificial intelligence, with many leaders struggling to prove the rationalization of investments while balancing risks. Cisco Systems, Inc. and NVIDIA Corporation are working together to eliminate barriers for customers and ensure they can optimize infrastructure investments and unleash the power of AI." Typically, the construction of AI data centers is primarily carried out by a small number of the world's largest companies, known as hyperscale companies, such as Microsoft Corporation (MSFT.US) and Amazon.com, Inc. (AMZN.US), which have large engineering teams capable of designing and deploying machines. NVIDIA Corporation aims to expand the coverage of this technology beyond a few customers and push AI into a wider range of economic sectors. A year ago, the company first collaborated with Cisco Systems, Inc. in an attempt to reach a larger audience, including the network company's biggest users - enterprises and government departments. For Cisco Systems, Inc., the collaboration with NVIDIA Corporation is a way to capture a larger share of AI spending, as Cisco Systems, Inc. has struggled to sell its equipment to these hyperscale data centers. It is reported that NVIDIA Corporation's network equipment will include Cisco Systems, Inc.'s Silicon One chip, which will give the product an edge in competition with products widely used by Broadcom Inc. (AVGO.US).