- BrainChip Holdings made waves in the tech space when it was showcased in its latest collaboration with Mercedes Benz
- BrainChip’s (ASX:BRN) stock has risen considerably in the past three months, jumping from just under AU$0.40 in October to its current price of AU$1.17 as of January 12, 2022 – nearly a 200% increase
- The BrainChip processor is named as such due to how it functions similar to that of the human brain
As the global economy becomes more correlated to the internet of things, artificial intelligence (AI) stocks are becoming increasingly prominent, moving itself further to the front of tech stocks in 2022.
One particular stock which has gained significant traction in the past few months, in particular, is BrainChip Holdings (ASX:BRN), which has won over global support as a result of its AI, inspired by the human brain.
What is BrainChip and why is it creating a buzz?
Recently, BrainChip Holdings made waves in the tech space when it was showcased in its latest collaboration with Mercedes Benz, which will use a microchip developed by the company in its latest electric vehicle (EV) – The Vision EQXX.
The new EV, slated for release later this year, claims to be able to travel 1000km on just one charge though its uses of BrainChip’s neural processors.
The chip itself – called the Akida neuromorphic processor, uses ten times less power than other power-efficient alternatives.
Image Source: © VanderWolfImages | Megapixl.com
BrainChip’s Increasing Value
BrainChip’s stock has risen considerably in the past three months, jumping from just under AU$0.40 in October to its current price of AU$1.17 as of January 12, 2022 – nearly a 200% increase.
In fact, within only a week of Mercedes announcing the use of BrainChip’s Akida processor in the EQXX, BrainChip’s stock rose 42%.
This rise has a lot to do with the fact that the California-based company has added around AU$1 billion to its market capitalisation over that same three month period.
This astounding growth can be put down to a series of positive customer announcements aside from its partnership with Mercedes, including its collaboration with Japanese semiconductor manufacturer MegaChips.
The four-year deal means MegaChips receives a non-exclusive, worldwide intellectual property licence to design and build external customers’ systems using the Akida chip technology.
Additionally, the tech company announced on Monday that its US client, Information Systems Laboratories, is using its Akida™ neural networking processor to develop an AI-based radar for the US Air Force.
These three collaborations – Mercedes, MegaChips and Information Systems Laboratories – have made the tech stock one to keep an eye on this coming year.
What Makes BrainChip’s Technology Stand Apart?
The BrainChip processor is named as such due to how it functions similar to that of the human brain.
This is different to most machine learning systems, which rely upon convolutional neural networks, meaning it finds the patterns that are spatially correlated.
The BrainChip, on the other hand, operates using what’s known as a spiking neural network, which means it only recognises useful information and is able to ignore information, which is not useful, just like the human brain does.
The world is moving into a fascinating era of technology innovation of AI systems. The technology contained in BrainChip looks to be a game-changer as its method of processing is not found in other systems.
BrainChip’s unique technology is now beginning to be recognised by major companies around the globe, which has been reflected in its price growth over the past few months. But don’t take your eye of this stock because it’s certainly one to watch out for in 2022.