By Stephen Nellis SAN FRANCISCO, June 2 (Reuters) - Microsoft will hold its annual software developer conference on Tuesday, where the company is expected to showcase new tools for developers building AI software for PCs and the cloud.

For a while now, the PC industry has been waiting for its next big moment. Faster processors and better battery life have helped, but they have not exactly sparked a major upgrade cycle. Microsoft Corporation (MSFT) and Nvidia Corporation (NVDA) seem to think artificial intelligence (AI) could change that.

Microsoft on Tuesday unveiled a new desktop PC powered by an Nvidia processor geared towards developers who want to run AI models locally. The new PC, called the Surface RTX Spark Dev Box, is powered by Nvidia’s new Arm-based chips announced earlier this week.

May 30 (Reuters) - AI chip firm Nvidia and Microsoft are expected next week to debut the first Windows PCs that use Nvidia's chips as the main processor, Axios reported on Saturday, citing sources. Nvidia-powered computers are expected both from Microsoft's Surface brand as well as other computer makers including Dell.

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