SAN FRANCISCO (AP) — The hottest thing in technology is an unprepossessing sliver of silicon closely related to the chips that power video game graphics. It’s an artificial intelligence chip, designed specifically to make building AI systems such as ChatGPT faster and cheaper.
Such chips have suddenly taken center stage in what some experts consider an AI revolution that could reshape the technology sector — and possibly the world along with it. Shares of Nvidia, the leading designer of AI chips, rocketed up almost 25% last Thursday after the company forecast a huge jump in revenue that analysts said indicated soaring sales of its products. The company was briefly worth more than $1 trillion on Tuesday.

Jeff Chiu
A Nvidia Corporation sign is shown in Santa Clara, Calif., Wednesday, May 31, 2023. AI chips and their leading designer, Nvidia, are now at the center of what some experts consider an AI revolution that could reshape the technology sector — and possibly the world along with it. (AP Photo/Jeff Chiu)
SO WHAT ARE AI CHIPS, ANYWAY?
That isn’t an easy question to answer. “There really isn’t a completely agreed upon definition of AI chips,” said Hannah Dohmen, a research analyst with the Center for Security and Emerging Technology.
In general, though, the term encompasses computing hardware that’s specialized to handle AI workloads — for instance, by “training” AI systems to tackle difficult problems that can choke conventional computers.
VIDEO GAME ORIGINS
Three entrepreneurs founded Nvidia in 1993 to push the boundaries of computational graphics. Within a few years, the company had developed a new chip called a graphics processing unit, or GPU, which dramatically sped up both development and play of video games by performing multiple complex graphics calculations at once.

Ross D. Franklin
FILE - Nvidia Co-founder, President and CEO Jensen Huang speaks at the Taiwan Semiconductor Manufacturing Company facility under construction in Phoenix, Dec. 6, 2022. AI chips and their leading designer, Nvidia, are now at the center of what some experts consider an AI revolution that could reshape the technology sector — and possibly the world along with it. (AP Photo/Ross D. Franklin, File)
That technique, known formally as parallel processing, would prove key to the development of both games and AI. Two graduate students at the University of Toronto used a GPU-based neural network to win a prestigious 2012 AI competition called ImageNet by identifying photo images at much lower error rates than competitors.
The win kick-started interest in AI-related parallel processing, opening a new business opportunity for Nvidia and its rivals while providing researchers powerful tools for exploring the frontiers of AI development.
MODERN AI CHIPS
Eleven years later, Nvidia is the dominant supplier of chips for building and updating AI systems. One of its recent products, the H100 GPU, packs in 80 billion transistors — about 13 million more than Apple’s latest high-end processor for its MacBook Pro laptop. Unsurprisingly, this technology isn’t cheap; at one online retailer, the H100 lists for $30,000.
Nvidia doesn’t fabricate these complex GPU chips itself, a task that would require enormous investments in new factories. Instead it relies on Asian chip foundries such as Taiwan Semiconductor Manufacturing Co. and Korea’s Samsung Electronics.
Some of the biggest customers for AI chips are cloud-computing services such as those run by Amazon and Microsoft. By renting out their AI computing power, those services make it possible for smaller companies and groups that couldn’t afford to build their own AI systems from scratch to use cloud-based tools to help with tasks that can range from drug discovery to customer management.

HONS
This photo provided by the chipmaker Nvidia shows the company’s HGX H100 module, which can use as many as eight AI chips to train artificial intelligence systems and perform other tasks. Such AI chips are tiny slivers of silicon designed to simplify and speed up the development of artificial intelligence systems such as ChatGPT, making them one of the hottest items in technology. (Nvidia via AP)
OTHER USES AND COMPETITION
Parallel processing has many uses outside of AI. A few years ago, for instance, Nvidia graphics cards were in short supply because cryptocurrency miners, who set up banks of computers to solve thorny mathematical problems for bitcoin rewards, had snapped up most of them. That problem faded as the cryptocurrency market collapsed in early 2022.
Analysts say Nvidia will inevitably face tougher competition. One potential rival is Advanced Micro Devices, which already faces off with Nvidia in the market for computer graphics chips. AMD has recently taken steps to bolster its own lineup of AI chips.
Nvidia is based in Santa Clara, California. Co-founder Jensen Huang remains the company’s president and chief executive.
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15 things AI can — and can’t — do
PopTika // Shutterstock
Artificial intelligence is a technology built and programmed to assist computer systems in mimicking human behavior. Algorithm training informed by experience and iterative processing allows the machine to learn, improve, and ultimately use human-like thinking to solve complex problems.
Although there are several ways computers can be "taught," reinforcement learning—where AI is rewarded for desired actions and penalized for undesirable ones, is one of the most common. This method, which allows the AI to become smarter as it processes more data, has been highly effective, especially for gaming.
AI can filter email spam, categorize and classify documents based on tags or keywords, launch or defend against missile attacks, and assist in complex medical procedures. However, if people feel that AI is unpredictable and unreliable, collaboration with this technology can be undermined by an inherent distrust of it. Diversity-informed algorithms can detect nuanced communication and distinguish behavioral responses, which could inspire more faith in AI as a collaborator rather than just as a gaming opponent.
Stacker assessed the current state of AI, from predictive models to learning algorithms, and identified the capabilities and limitations of automation in various settings. Keep reading for 15 things AI can and can't do, compiled from sources at Harvard and the Lincoln Laboratory at MIT.
You may also like: How alcohol-related deaths have changed in every state over the past two decades

PopTika // Shutterstock
Artificial intelligence is a technology built and programmed to assist computer systems in mimicking human behavior. Algorithm training informed by experience and iterative processing allows the machine to learn, improve, and ultimately use human-like thinking to solve complex problems.
Although there are several ways computers can be "taught," reinforcement learning—where AI is rewarded for desired actions and penalized for undesirable ones, is one of the most common. This method, which allows the AI to become smarter as it processes more data, has been highly effective, especially for gaming.
AI can filter email spam, categorize and classify documents based on tags or keywords, launch or defend against missile attacks, and assist in complex medical procedures. However, if people feel that AI is unpredictable and unreliable, collaboration with this technology can be undermined by an inherent distrust of it. Diversity-informed algorithms can detect nuanced communication and distinguish behavioral responses, which could inspire more faith in AI as a collaborator rather than just as a gaming opponent.
Stacker assessed the current state of AI, from predictive models to learning algorithms, and identified the capabilities and limitations of automation in various settings. Keep reading for 15 things AI can and can't do, compiled from sources at Harvard and the Lincoln Laboratory at MIT.
You may also like: How alcohol-related deaths have changed in every state over the past two decades

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15 things AI can — and can’t — do
Ground Picture // Shutterstock
AI combines data inputs with iterative processing algorithms to analyze and identify patterns. With each round of new inputs, AI "learns" through the deep learning and natural language processes built into training algorithms.
AI rapidly analyzes, categorizes, and classifies millions of data points, and gets smarter with each iteration. Learning through feedback from the accumulation of data is different from traditional human learning, which is generally more organic. After all, AI can mimic human behavior but cannot create it.
Ground Picture // Shutterstock
AI combines data inputs with iterative processing algorithms to analyze and identify patterns. With each round of new inputs, AI "learns" through the deep learning and natural language processes built into training algorithms.
AI rapidly analyzes, categorizes, and classifies millions of data points, and gets smarter with each iteration. Learning through feedback from the accumulation of data is different from traditional human learning, which is generally more organic. After all, AI can mimic human behavior but cannot create it.
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15 things AI can — and can’t — do
Bas Nastassia // Shutterstock
AI cannot answer questions requiring inference, a nuanced understanding of language, or a broad understanding of multiple topics. In other words, while scientists have managed to "teach" AI to pass standardized eighth-grade and even high-school science tests, it has yet to pass a college entrance exam.
College entrance exams require greater logic and language capacity than AI is currently capable of and often include open-ended questions in addition to multiple choice.
Bas Nastassia // Shutterstock
AI cannot answer questions requiring inference, a nuanced understanding of language, or a broad understanding of multiple topics. In other words, while scientists have managed to "teach" AI to pass standardized eighth-grade and even high-school science tests, it has yet to pass a college entrance exam.
College entrance exams require greater logic and language capacity than AI is currently capable of and often include open-ended questions in addition to multiple choice.
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15 things AI can — and can’t — do
Proxima Studio // Shutterstock
The majority of employees in the tech industry are white men. And since AI is essentially an extension of those who build it, biases can (and do) emerge in systems designed to mimic human behavior.
Only about 25% of computer jobs and 15% of engineering jobs are held by women, according to the Pew Research Center. Fewer than 10% of people employed by industry giants Google, Microsoft, and Meta are Black. This lack of diversity becomes increasingly magnified as AI "learns" through iterative processing and communicating with other tech devices or bots. With increasing incidences of chatbots repeating hate speech or failing to recognize people with darker skin tones, diversity training is necessary.
Proxima Studio // Shutterstock
The majority of employees in the tech industry are white men. And since AI is essentially an extension of those who build it, biases can (and do) emerge in systems designed to mimic human behavior.
Only about 25% of computer jobs and 15% of engineering jobs are held by women, according to the Pew Research Center. Fewer than 10% of people employed by industry giants Google, Microsoft, and Meta are Black. This lack of diversity becomes increasingly magnified as AI "learns" through iterative processing and communicating with other tech devices or bots. With increasing incidences of chatbots repeating hate speech or failing to recognize people with darker skin tones, diversity training is necessary.
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15 things AI can — and can’t — do
Zephyr_p // Shutterstock
Unstructured data like images, sounds, and handwriting comprise around 90% of the information companies receive. And AI's ability to recognize it has almost unlimited applications, from medical imaging to autonomous vehicles to digital/video facial recognition and security. With the potential for this kind of autonomous power, diversity training is an imperative inclusion in university-level STEM pedagogy—where more than 80% of instructors are white men— to enhance diversity in hiring practices and in turn, in AI.
Zephyr_p // Shutterstock
Unstructured data like images, sounds, and handwriting comprise around 90% of the information companies receive. And AI's ability to recognize it has almost unlimited applications, from medical imaging to autonomous vehicles to digital/video facial recognition and security. With the potential for this kind of autonomous power, diversity training is an imperative inclusion in university-level STEM pedagogy—where more than 80% of instructors are white men— to enhance diversity in hiring practices and in turn, in AI.
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15 things AI can — and can’t — do
Andrey_Popov // Shutterstock
Andrey_Popov // Shutterstock
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15 things AI can — and can’t — do
Chepko Danil Vitalevich // Shutterstock
Chepko Danil Vitalevich // Shutterstock
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15 things AI can — and can’t — do
Vasilyev Alexandr // Shutterstock
Vasilyev Alexandr // Shutterstock
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15 things AI can — and can’t — do
Gorodenkoff // Shutterstock
AI can be described as brittle, meaning it can break down easily when encountering unexpected events. During the isolation of COVID-19, one Scottish soccer team used an automatic camera system to broadcast its match. But the AI camera confused the soccer ball with another round, shiny object — a linesman's bald head.
Gorodenkoff // Shutterstock
AI can be described as brittle, meaning it can break down easily when encountering unexpected events. During the isolation of COVID-19, one Scottish soccer team used an automatic camera system to broadcast its match. But the AI camera confused the soccer ball with another round, shiny object — a linesman's bald head.
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15 things AI can — and can’t — do
Claudia Herran // Shutterstock
Flippy is an AI assistant that is flipping burgers at fast food chains in California. The AI relies on sensors to track temperature and cooking time. However, Flippy is designed to work with humans rather than replace them. Eventually, AI assistants like Flippy will be able to perform more complicated tasks—but they won't be able to replace a chef's culinary palate and finesse.
Claudia Herran // Shutterstock
Flippy is an AI assistant that is flipping burgers at fast food chains in California. The AI relies on sensors to track temperature and cooking time. However, Flippy is designed to work with humans rather than replace them. Eventually, AI assistants like Flippy will be able to perform more complicated tasks—but they won't be able to replace a chef's culinary palate and finesse.
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15 things AI can — and can’t — do
Ground Picture // Shutterstock
Ground Picture // Shutterstock
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15 things AI can — and can’t — do
Sharomka // Shutterstock
In 2017, a Dallas six-year-old ordered a $170 dollhouse with one simple command to Amazon's AI device, Alexa. When a TV news journalist reported the story and repeated the girl's statement, "...Alexa ordered me a dollhouse," hundreds of devices in other people's homes responded to it as if it were a command.
As smart as this AI technology is, Alexa and similar devices still require human involvement to set preferences to prevent voice commands for automatic purchases and to enable other safeguards.
Sharomka // Shutterstock
In 2017, a Dallas six-year-old ordered a $170 dollhouse with one simple command to Amazon's AI device, Alexa. When a TV news journalist reported the story and repeated the girl's statement, "...Alexa ordered me a dollhouse," hundreds of devices in other people's homes responded to it as if it were a command.
As smart as this AI technology is, Alexa and similar devices still require human involvement to set preferences to prevent voice commands for automatic purchases and to enable other safeguards.
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15 things AI can — and can’t — do
Roman Strebkov // Shutterstock
China's pharmaceutical companies rely on AI to create and maintain optimal conditions for their largest cockroach breeding facility. Cockroaches are bred by the billions and then crushed to make a "healing potion" believed to treat respiratory and gastric issues, as well as other diseases.
Roman Strebkov // Shutterstock
China's pharmaceutical companies rely on AI to create and maintain optimal conditions for their largest cockroach breeding facility. Cockroaches are bred by the billions and then crushed to make a "healing potion" believed to treat respiratory and gastric issues, as well as other diseases.
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15 things AI can — and can’t — do
Miriam Doerr Martin Frommherz // Shutterstock
People fear that a fully automated economy would eliminate jobs, and this is true to some degree: AI isn't coming, it's already here. But millions of algorithms programmed with a specific task based on a specific data point can never be confused with actual consciousness.
In a TED Talk, brain scientist Henning Beck asserts that new ideas and new thoughts are unique to the human brain. People can take breaks, make mistakes, and get tired or distracted: all characteristics that Beck believes are necessary for creativity. Machines work harder, faster, and more—all actions that algorithms will replace. Trying and failing, stepping back and taking a break, and learning from new and alternative opinions are the key ingredients to creativity and innovation. Humans will always be creative because we are not computers.
Miriam Doerr Martin Frommherz // Shutterstock
People fear that a fully automated economy would eliminate jobs, and this is true to some degree: AI isn't coming, it's already here. But millions of algorithms programmed with a specific task based on a specific data point can never be confused with actual consciousness.
In a TED Talk, brain scientist Henning Beck asserts that new ideas and new thoughts are unique to the human brain. People can take breaks, make mistakes, and get tired or distracted: all characteristics that Beck believes are necessary for creativity. Machines work harder, faster, and more—all actions that algorithms will replace. Trying and failing, stepping back and taking a break, and learning from new and alternative opinions are the key ingredients to creativity and innovation. Humans will always be creative because we are not computers.
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15 things AI can — and can’t — do
vfhnb12 // Shutterstock
Learning from sensors, brush patterns, and teeth shape, AI-enabled toothbrushes also measure time, pressure, and position to maximize dental hygiene. More like electric brushes than robots, these expensive dental instruments connect to apps that rely on smartphone's front-facing cameras.
vfhnb12 // Shutterstock
Learning from sensors, brush patterns, and teeth shape, AI-enabled toothbrushes also measure time, pressure, and position to maximize dental hygiene. More like electric brushes than robots, these expensive dental instruments connect to apps that rely on smartphone's front-facing cameras.
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15 things AI can — and can’t — do