Nvidia Unveils Groot N1: A New Humanoid AI Brain

Nvidia Corporation (NASDAQ: NVDA) is making significant strides in the realm of embodied artificial intelligence (AI) with the introduction of a generalist robot brain designed to emulate human thought processes. This innovative technology is geared towards addressing the increasing labor shortages that many industries are facing.

What Happened: The announcement was made during the GTC 2025 conference held in San Jose, where Nvidia's CEO, Jensen Huang, introduced the Groot N1 model. Huang described this launch as a critical advancement in the field of embodied AI, highlighting its potential to transform robotics and address labor shortages.

The Groot N1 model builds upon Nvidia's earlier initiative, Project Groot, which first appeared at the previous year's GTC event. According to Nvidia, the new model incorporates a unique slow-thinking mechanism that allows robots to comprehend their environment, follow instructions, and devise plans of action. In contrast, its fast-thinking system ensures the execution of these plans, enabling robots to carry out complex tasks, such as intricate object manipulation.

The Groot N1 framework is open source, and Nvidia is also offering simulation tools and blueprints aimed at generating synthetic training data for developers.

During the keynote presentation, Huang expressed, "This could very well likely be the largest industry of all." He referenced predictions that by the end of the decade, the world could be short at least 50 million workers. He noted, "We'd be more than delighted to pay them each $50,000 to come to work—we're probably going to have to pay robots $50,000 a year instead."

Despite the excitement surrounding the announcement, Nvidia's stock experienced a decline of 2.5% following the presentation, while the Nasdaq index slipped by 0.2%.

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Why It's Important: Huang's GTC keynote emphasized a hopeful outlook on AI's potential across numerous industries, particularly in the domain of robotics. He also demonstrated increasing demand for Blackwell GPUs, which are just beginning to ship. This demand is attributed to growth in generative AI, agentic AI, and now physical AI.

As he began his address, Huang compared GTC's significance to that of “Woodstock of AI” in prior years, but now referred to it as the “Super Bowl of AI.” Additionally, he announced a collaboration with General Motors Co. aimed at enhancing autonomous vehicle technology.

Price Action: On the day of the announcement, Nvidia's stock closed down by 3.43% at $115.43, and dropped an additional 0.56% in after-hours trading, settling at $114.78. Overall, year-to-date, the stock has decreased by 16.54% according to market reports.

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Image sourced via Shutterstock.

Nvidia, robotics, AI