ROCKVILLE, Md. - Ceva, Inc. (NASDAQ: NASDAQ:CEVA), a prominent licensor of wireless connectivity and smart sensing technologies, has expanded its Edge AI portfolio with the introduction of the Ceva-NeuPro-Nano NPUs (Neural Processing Units). These new processors are designed to enhance the capabilities of TinyML, which stands for tiny machine learning, across a diverse range of AIoT (Artificial Intelligence of Things) devices.
The Ceva-NeuPro-Nano NPUs are optimized to deliver a balance of low power consumption and high performance in a compact area, which is critical for executing TinyML workloads in consumer, industrial, and general-purpose AIoT products. The architecture of these NPUs is fully programmable and capable of executing neural networks, feature extraction, control code, and DSP (Digital Signal Processing) code.
With the increasing demand for efficient AI solutions in IoT devices, the market for TinyML is expected to grow significantly. ABI Research forecasts that by 2030, more than 40% of TinyML shipments will be powered by dedicated TinyML hardware. The Ceva-NeuPro-Nano NPUs address the specific performance challenges of TinyML, aiming to make AI ubiquitous and practical for a wide array of use cases.
The Ceva-NeuPro-Nano NPUs boast up to 80% memory footprint reduction through Ceva-NetSqueeze technology, which processes compressed model weights directly. This feature is crucial in overcoming a major limitation in the widespread adoption of AIoT processors.
Two configurations of the NPU are available: the Ceva-NPN32 and the Ceva-NPN64, offering varying degrees of performance to cater to different use cases ranging from voice and audio processing to more complex AI tasks like face detection and health monitoring.
The NPUs come with the Ceva-NeuPro Studio AI SDK, which supports open AI frameworks such as TensorFlow Lite for Microcontrollers (TFLM) and microTVM (µTVM), simplifying the development of TinyML-enabled applications.
Ceva's announcement today is based on a press release statement.
In other recent news, CEVA , Inc. reported a robust first quarter in 2024, marked by a significant year-over-year royalty revenue growth of 33%. Despite a dip in licensing revenue due to delayed deals, the company secured a substantial multimillion-dollar agreement in the second quarter and anticipates strong demand for its next-generation IPs.
CEVA's recent licensing deals, expansion in leadership in smart edge IP, and a solid royalty business underscore its positive outlook for the year. The company also highlighted its strategic investments and partnerships, aimed at bolstering its market position in connectivity and sensing technologies.
It is worth noting that CEVA's Q1 2024 revenue stood at $22.1 million, with a positive outlook for sequential growth in Q2. The company maintains a positive outlook for 2024, with a focus on growth and managing expenses carefully. These are among the recent developments that investors may want to consider.
InvestingPro Insights
As Ceva, Inc. (NASDAQ: CEVA) forges ahead with its innovative Ceva-NeuPro-Nano NPUs to power the next generation of AIoT devices, the financial picture painted by InvestingPro offers a mixed but promising outlook for the company. The latest real-time data reveals a market capitalization of $451.83 million, underscoring the company's significant presence in the tech sector. Despite a challenging period reflected in a negative revenue growth rate of -17.1% over the last twelve months as of Q1 2024, Ceva's impressive gross profit margin of 88.58% during the same timeframe signals a strong ability to convert revenue into gross profit.
Investors and analysts keeping a close eye on Ceva's financial health will note the company's prudence in financial management, as highlighted by two key InvestingPro Tips. Firstly, Ceva holds more cash than debt on its balance sheet, suggesting a solid position to weather economic fluctuations and invest in strategic growth areas such as TinyML. Additionally, the company's liquid assets exceed its short-term obligations, providing further evidence of Ceva's financial stability and resilience.
While Ceva has not been profitable over the last twelve months, analysts predict a turnaround with the company expected to be profitable this year. This optimistic forecast is particularly relevant as Ceva expands its Edge AI portfolio, potentially capturing a larger share of the burgeoning TinyML market.
Investors interested in a deeper dive into Ceva's financials and future prospects can find additional InvestingPro Tips at https://www.investing.com/pro/CEVA. Currently, there are 5 more tips available that could provide valuable insights. Remember, using the coupon code PRONEWS24 will get you an additional 10% off a yearly or biyearly Pro and Pro+ subscription, offering a comprehensive view of the investment landscape surrounding innovative tech companies like Ceva.
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