Please ensure Javascript is enabled for purposes of website accessibility

NVIDIA's Super Chip Has Landed

By Evan Niu, CFA – Updated Apr 6, 2017 at 4:47PM

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

NVIDIA officially launches its quad-core Tegra 3 alongside the Asus Transformer Prime.

Kal-El has had a long journey to Earth, and now that it has arrived, our yellow sun has truly bestowed it with superpowers never before seen on this terrestrial planet.

NVIDIA (Nasdaq: NVDA) has just officially launched its Tegra 3 mobile processor, which is the world's first quad-core mobile chip. Previously codenamed "Kal-El" after Superman's Kryptonian name, the chip is being justifiably touted by NVIDIA for its impressive specs, and it gives CEO Jen-Hsun Huang plenty of reasons to be bullish.

Built on ARM Holdings (Nasdaq: ARMH) architecture and clocked at 1.3 GHz, the chip will deliver "PC-class performance levels," NVIDIA promises, while reducing power consumption by as much as 61% compared to the last generation. Graphics performance is supposed to triple, while battery life can top out at 12 hours, notably besting Apple's (Nasdaq: AAPL) 10-hour iPad battery.

Source: NVIDIA press release.

The chip even includes a fifth "Companion" core, which is meant for ultra-low power consumption and tasks that don't need as much horsepower, which helps boost battery life. The four primary cores kick in when some serious heavy lifting is required. As a longtime gamer, I'm particularly impressed with the graphics performance that these chips are capable of.

Source: NVIDIA press release.

The company was kind enough to also include some screenshots, as its been working closely with a handful of mobile game developers. It's pretty mind-boggling to think that mobile gaming can provide an experience on par with dedicated gaming consoles, and it speaks to how quickly mobile processing is evolving.

The first device to run on the chip is the Asus Eee Pad Transformer Prime, and it boasts hardware to make any spec snob drool. The tablet will rock a 10.1-inch IPS display covered in Corning (NYSE: GLW) Gorilla Glass, an 8-megapixel rear camera and a 1.2-megapixel front shooter, 1 GB of RAM, and 32 GB or 64 GB of onboard storage. It will run Google (Nasdaq: GOOG) Android.

Available in early December, it will run at the same entry-level price of the iPad at $499, but that will fetch you twice the entry storage, with 32 GB. They call it the Transformer Prime because you can also buy a keyboard dock for $149 that effectively converts it into a laptop.

 

Source: NVIDIA press release.

While Android tablet competition has thus far lacked any credible threat to the iPad, the Transformer Prime might actually be a potential contender.

Next year promises a slew of other quad-core mobile CPUs, including Qualcomm's (Nasdaq: QCOM) Snapdragon, Texas Instruments' (NYSE: TXN) OMAP 5, and Apple's A6. However, the unifying theme behind all of them is ARM Holdings technology, which is exactly why I bought shares. We'll have to wait until 2012 to see if NVIDIA's first-mover advantage will keep it ahead of the pack.

Fool contributor Evan Niu owns shares of Apple and ARM Holdings, but he holds no other position in any company mentioned. Click here to see his holdings and a short bio. The Motley Fool owns shares of Qualcomm, Google, Apple, and Texas Instruments. Motley Fool newsletter services have recommended buying shares of NVIDIA, Google, Apple, and Corning. Motley Fool newsletter services have recommended creating a bull call spread position in Apple, as well as writing puts in NVIDIA. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

Invest Smarter with The Motley Fool

Join Over 1 Million Premium Members Receiving…

  • New Stock Picks Each Month
  • Detailed Analysis of Companies
  • Model Portfolios
  • Live Streaming During Market Hours
  • And Much More
Get Started Now

Stocks Mentioned

NVIDIA Corporation Stock Quote
NVIDIA Corporation
NVDA
$122.28 (-2.30%) $-2.88
Alphabet Inc. Stock Quote
Alphabet Inc.
GOOGL
$98.17 (-0.58%) $0.57
Apple Inc. Stock Quote
Apple Inc.
AAPL
$150.77 (0.23%) $0.34
Texas Instruments Incorporated Stock Quote
Texas Instruments Incorporated
TXN
$160.46 (-0.52%) $0.83
ARM Holdings plc Stock Quote
ARM Holdings plc
ARMH
QUALCOMM Incorporated Stock Quote
QUALCOMM Incorporated
QCOM
$119.74 (-1.20%) $-1.45
Corning Incorporated Stock Quote
Corning Incorporated
GLW
$29.89 (-1.39%) $0.42

*Average returns of all recommendations since inception. Cost basis and return based on previous market day close.

Related Articles

Motley Fool Returns

Motley Fool Stock Advisor

Market-beating stocks from our award-winning analyst team.

Stock Advisor Returns
329%
 
S&P 500 Returns
106%

Calculated by average return of all stock recommendations since inception of the Stock Advisor service in February of 2002. Returns as of 09/26/2022.

Discounted offers are only available to new members. Stock Advisor list price is $199 per year.

Premium Investing Services

Invest better with The Motley Fool. Get stock recommendations, portfolio guidance, and more from The Motley Fool's premium services.