Verizon and NVIDIA have joined forces to launch a new AI-driven private 5G platform based on 5G private network and private mobile edge computing (MEC) technology. The platform is designed to enable plug-and-play AI applications and support various computing-intensive applications, such as generative AI, video streaming, AR/VR/XR, etc., providing enterprises with a powerful AI application platform to accelerate digital transformation. . Verizon plans to begin demonstrating the solution in early 2025, marking another important step forward in the convergence of AI and 5G between the two companies. It also reflects Verizon's global leadership in private MEC and Nvidia's strength in AI computing. strength.
The cooperation between Verizon and NVIDIA not only provides enterprises with a convenient and efficient AI application platform, but also heralds broad prospects for the deep integration of 5G and AI in the future. However, Verizon's recent financial performance that fell short of expectations and the impact of potential acquisitions on share repurchases are also worthy of attention. The platform’s actual application effects and market response will further test its technical strength and commercial value.
Verizon Communications Inc. (ticker: VZ) announced on Tuesday that it has partnered with Nvidia to develop a new solution that leverages Verizon's reliable 5G private network and private mobile edge computing (MEC) technology to run various artificial intelligence (AI) applications.
This new AI-driven private 5G platform stack, jointly developed by Verizon and NVIDIA, is designed to be plug-and-play and help third-party developers innovate while adapting to future development trends in AI computing and various AI and connectivity applications.
The platform can provide services remotely via a portable private network solution or deploy a permanent private network at the customer's premises.
It is understood that the platform can handle computationally intensive applications, including generative AI large language models and visual language models, video streaming, broadcast management, computer vision (CV), augmented/virtual/extended reality (AR/VR/XR) , autonomous mobile robots/automatic guided vehicles (AMR/AGV) and the Internet of Things (IoT), etc.
Verizon engineers will begin demonstrating the solution in early 2025.
Srini Kalapala, Verizon's senior vice president of technology and product development, said the company will leverage its private network and global industry leadership in private MEC, combined with Nvidia's AI computing capabilities, to enable the security needed , ultra-low latency and high-bandwidth real-time AI applications.
Ronnie Vasishta, senior vice president of telecommunications at Nvidia, pointed out that Verizon will integrate Nvidia's full-stack AI platform into its new solution to run AI workloads on private 5G networks, which is an important step to help everyone An important step for enterprises of all sizes to achieve their AI business goals faster.
Notably, Keybanc analyst Brandon Nispel downgraded Verizon's stock rating from "overweight" to "sector weight" in October after the company's quarterly earnings fell short of expectations.
Nispel noted that Verizon's potential acquisition of Frontier Communications Parent could limit its ability to repurchase stock in the short term, which would have yielded a yield of more than 6%. He also highlighted that slower net incremental growth in postpaid phones and higher equipment subsidies bode well for rising costs.
As of last check on Tuesday, VZ shares were down 0.02% at $40.87.
This cooperation marks another important progress between Verizon and NVIDIA in the field of AI and 5G integration. This solution will provide enterprises with a powerful AI application platform and accelerate the digital transformation of various industries.
All in all, the cooperation between Verizon and NVIDIA will further promote the integrated development of 5G and AI technology and provide new impetus for the digital transformation of enterprises. But investors also need to pay attention to Verizon's own financial situation and market competitive pressure.