Nvidia 800V HVDC production starts 1Q27; Delta ramps 2Q

Nvidia is set to begin production of its 800V High-Voltage Direct Current (HVDC) power delivery systems in the first quarter of 2027. Delta Electronics, a key supplier, is expected to ramp up its related production in the second quarter of 2027 to support this initiative. This move indicates a significant shift in how Nvidia plans to power its future high-performance computing products.

This development matters because it signals a strategic evolution in power delivery for data centers, particularly those housing advanced AI chips. Higher voltage direct current systems can offer greater energy efficiency and potentially reduce power conversion losses, which is crucial for the increasingly power-hungry AI infrastructure. It could influence future data center design and operational costs.

The mechanism involves Nvidia adopting an 800V HVDC architecture, moving away from or supplementing existing lower-voltage AC or DC systems. This higher voltage allows for more efficient power transmission within data centers, reducing the current required for the same power delivery and potentially enabling thinner cabling or less heat generation. Delta's ramp-up suggests their role in manufacturing the necessary power supply units or related components.

This news primarily impacts Nvidia (NVDA) by outlining its future product architecture and potentially enhancing the efficiency and appeal of its data center solutions. It also affects power supply manufacturers like Delta Electronics (2308.TW), which stands to gain from increased orders. Other data center component suppliers and operators may also see shifts in design requirements and competitive dynamics.