Nvidia Vera CPU is gaining traction in the AI infrastructure market after cloud-computing startup Modal reported that early tests showed the processor doubled the amount of work AI agents could complete compared with the Intel and AMD processors tested.
Modal plans to introduce Nvidia’s Vera central processing unit (CPU) to its infrastructure for hosting AI agents, marking a shift from its previous reliance on Intel and AMD processors for these workloads, Reuters reported on 19 October 2026.
How Nvidia Vera helps AI agents
AI agents are systems designed to carry out tasks over multiple steps, including executing code, using software tools and interacting with data. These workloads require computing infrastructure capable of handling repeated operations efficiently.
Nvidia designed Vera specifically for AI agent workloads and other data-centre tasks. The company is positioning the processor as part of its broader strategy to supply the computing infrastructure required by increasingly autonomous AI systems.
Modal’s early tests found that Vera doubled the amount of work AI agents could complete compared with the Intel and AMD processors already available on the market. The result encouraged the startup to support Nvidia’s processor, although integration will require substantial software changes.
Modal will continue using Intel and AMD
Modal does not plan to abandon its existing processor suppliers. Instead, it intends to operate a mixed hardware environment, selecting the processor best suited to each workload.
Chief executive Erik Bernhardsson said the company would also test newer processors from Intel and AMD when they become available. This means the reported performance advantage is based on comparisons with existing chips, rather than every future processor from competing manufacturers.
The approach highlights how AI infrastructure providers are evaluating hardware based on workload performance rather than committing to a single supplier.
Nvidia targets the AI computing market
Nvidia expects Vera CPU sales to generate at least $20 billion in revenue during its current fiscal year, according to Reuters. The company estimates the market it is targeting at approximately $200 billion.
Modal has also reported rapid business growth. The startup recently raised $750 million in a funding round led by Accel at a valuation of $15.75 billion. It said usage of its services had tripled and revenue had increased more than 15 times year over year.
The adoption of Vera by Modal provides another indication of Nvidia’s efforts to expand beyond its established position in AI accelerators and compete in the central processor market.
However, the long-term competitive picture remains open. Intel and AMD are developing newer processors, and Modal’s decision to maintain a mixed hardware fleet leaves room for competing chips to win workloads based on their performance.
Read more : Amazon is also challenging Nvidia with its TorchNeuron AI tool for Trainium chips.
