Nvidia's Arm-based N1X AI processor, initially announced in June 2025 with expectations to debut at Computex 2025, has encountered significant hardware design flaws, leading to a delay in its launch until 2026.

The redesign of the silicon is more severe than previous issues, requiring a complete overhaul, and Nvidia's engineers had previously resolved earlier problems without altering the silicon.

Despite setbacks, Nvidia aims to compete in the entry-level and mid-range CPU segments, targeting established players like Intel, AMD, and Apple.

The N1X was originally set for an early 2026 release, but recent design challenges and critical defects have pushed this timeline further back, with updates expected by the end of 2025.

The delays stem from issues identified in April 2025, which Nvidia initially blamed on TSMC and Microsoft, although production reportedly began in June 2025, and further problems have since emerged.

The company plans to develop custom Arm-based silicon for laptops, potentially based on a scaled-back version of the DGX Spark supercomputer's 20-core GB10 chip, with updates expected by the end of 2025.

The upcoming Arm chip is expected to feature in Alienware laptops, offering performance comparable to RTX 4070 graphics, and there are indications of a partnership with Alienware for gaming laptops.

Nvidia showcased its AI PC in January and plans to release a more affordable version in collaboration with MediaTek, with the N1X processor intended to power next-generation gaming laptops.

The N1X aims to integrate GeForce GPUs and is part of Nvidia's entry into a new AI PC ecosystem, signaling a shift in processor and operating system competition within the PC gaming landscape.

Despite the delays with the N1X, Nvidia plans to release its DGX Spark workstation featuring an integrated Grace CPU with ARM cores by the end of July 2025, marking its entry into the PC CPU market.

The project involves Nvidia developing custom Arm-based silicon for laptops, which could be based on a scaled-down version of the DGX Spark supercomputer's 20-core GB10 chip.

Market interest in Arm-based laptops for gaming remains low, leading to skepticism about Nvidia's push into this segment, especially as Intel and AMD continue to improve their x86 architectures.