Ambarella (AMBA) Brings AI to Endpoint Devices Via N1 SoCs
Ambarella AMBA, in a bid to bring generative artificial intelligence (AI) to edge endpoint devices and on-premise hardware, has unveiled its N1 System on Chips (SoCs) Series that runs multi-modal large language models (LLMs) and supports up to 34 billion parameters. The product will be showcased at the Consumer Electronic Show 2024.
The solution is built on CV3-HD architecture that was initially used to power Advanced Driver Assistance Systems. The new N1 SoCs are built on this capability that utilizes extremely low power while running multi-modal LLMs.
Additionally, the N1 SoCs are supported by the Cooper Developer Platform and adapted to the popular LLMs, including Llama-2 and LLava. These features will enable Ambarella’s customers to accelerate their product deployment.
Ambarella, Inc. Price and Consensus
Ambarella, Inc. price-consensus-chart | Ambarella, Inc. Quote
The introduction of this solution will bring an improvement in image and video processing with multi-modal vision analysis using up to 32 camera sources. The new solution will support a range of use cases like the enhancement of context understanding in security footage, natural language-controlled robots and AI assistants for code and image generation.
AMBA stated that its SoCs are power efficient compared with the existing graphics processing unit (GPU)-based AI accelerators. Unlike the GPU-driven accelerators that consume high wattage, the N1 SoCs have been demonstrated to work on just 50 watts of power to run the Llama2-13B LLM model. Its performance of 25 output tokens per second with the Llama2-13B LLM model is a testament to its cost-effective deployment in products.
Ambarella Benefits From Its Innovative SoCs
Ambarella is well known for its SoCs that operate on low power consumption while offering high-performance video processing. Furthermore, AMBA's highly configurable SoCs provide cost-effectiveness and power advantage over its rivals. This positioning has kept the company ahead of its competitors, utilizing expensive semiconductors in its video and image processing solutions. These advantages have established Ambarella as a leader in the SoCs market, meeting high demand across wearable cameras, IP cameras, automotive dashboard cameras and drone camera makers.
The company also continues to make strides in rolling out computer video solutions centered on CVFlow architecture. Its AI SoCs include CV3, CV2, CV5, CV25 and CV22, which are gaining popularity among customers.
However, the company is facing some near-term challenges that include customers reducing their inventory and weak demand in specific market segments. These factors have led to lower-than-expected revenues for the third quarter of fiscal 2024. The company also expects these challenges to persist in the near future, affecting its financial performance.
Zacks Rank and Stocks to Consider
Currently, Ambarella carries a Zacks Rank #3 (Hold). Shares of AMBA have declined 32.5% in the past year.
Some better-ranked stocks from the broader technology sector are Kanzhun BZ, Ceridian HCM CDAY and Everbridge EVBG, each sporting a Zacks Rank #1 (Strong Buy) at present. You can see the complete list of today’s Zacks #1 Rank stocks here.
The Zacks Consensus Estimate for Kanzhun's fourth-quarter 2023 earnings per share has been revised downward by 2 cents to 16 cents in the past 30 days. Shares of BZ have declined 39.3% in the past year.
The Zacks Consensus Estimate for Ceridian HCM’s fourth-quarter 2023 earnings has been revised by a penny northward to 32 cents per share in the past 90 days. Shares of CDAY have gained 4.3% in the past year.
The Zacks Consensus Estimate for Everbridge’s fourth-quarter 2023 earnings has declined by a penny in the past 60 days to 49 cents per share. Shares of EVBG plunged 22.7% in the past year.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
KANZHUN LIMITED Sponsored ADR (BZ) : Free Stock Analysis Report
Ambarella, Inc. (AMBA) : Free Stock Analysis Report
Everbridge, Inc. (EVBG) : Free Stock Analysis Report
Ceridian HCM (CDAY) : Free Stock Analysis Report
