Meta and Microsoft say they will buy AMD's new AI chip as an alternative to Nvidia's
Publishing timestamp: 2023-12-07 04:51:24
Summary
Meta, OpenAI, and Microsoft have announced their plans to use AMD's newest AI chip, Instinct MI300X, indicating a growing demand for alternatives to Nvidia's expensive graphics processors in the field of artificial intelligence. If the MI300X chip proves to be both effective and affordable, it could reduce costs for developing AI models and pose a competitive challenge to Nvidia. AMD CEO Lisa Su projects a market worth $400 billion or more for AI chips by 2027 and hopes that AMD will have a significant share in that market. The MI300X chip boasts improved performance and features, such as 192GB of high-performance memory, which can enhance user experience and accommodate larger AI models. However, the main challenge for AMD is convincing companies already invested in Nvidia to adopt their GPU. Price will also play a crucial role in the adoption of AMD's chip. Despite Nvidia's dominance in the AI chip market, AMD remains optimistic about its prospects and aims to secure a substantial portion of the projected $400 billion market.
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Tickers: META, NVDA, AMD, MSFT, ORCL,
Keywords: business, breaking news: technology, semiconductor device manufacturing, oracle corp, artificial intelligence, business news, microsoft corp, generative ai, lisa su, meta platforms inc, nvidia corp, advanced micro devices inc, apple inc, technology,