AMDs Stock Rises as It Partners with Oracle for AI Chip Supply
Once considered a perennial underdog in the semiconductor industry, AMD is experiencing a surge in its stock price following a significant partnership with Oracle for large-scale AI chip contracts. As collaborations between AMD and major American tech firms strengthen, Wall Street analysts predict a potential decline in NVIDIAs market share, which has long been regarded as the dominant player in AI-specific chips. With the global data center market expanding, AMDs supply of AI graphics processing units (GPUs) is expected to see remarkable growth in the latter half of this year.
On March 14, Oracle announced plans to launch an AI cloud service powered by 50,000 AMD Instinct MI450 Series GPUs starting in the third quarter of next year. Oracle stated, "As AI demand surges, customers need open computing solutions," explaining the rationale behind their purchase of AMD chips. The initial rollout will start with 50,000 GPUs, with plans to further expand the adoption of these chips post-2027.
The MI450 GPU chip is set to be a high-performance AI-specific offering from AMD, scheduled for release next year. Following this announcement, AMDs stock closed at $218.09, up 0.77% from the previous day on the New York Stock Exchange. Founded in 1969, AMD is a fabless semiconductor company that primarily focuses on the design of GPUs and central processing units (CPUs). Although it once lagged behind NVIDIA in the GPU market and Intel in the CPU sector, AMD has steadily increased its market share in both areas through a strategy focused on cost-effective products.
Recently, AMDs products have emerged as viable alternatives to NVIDIAs high-priced GPU models in the AI GPU market for data centers. As the demand for AI technologies continues to rise, AMDs competitive positioning could lead to further gains in the market, challenging NVIDIAs longstanding supremacy. As the industry evolves, the collaboration between AMD and leading tech companies like Oracle may signify a transformative phase for AMD, potentially reshaping the competitive landscape of the semiconductor industry.
On March 14, Oracle announced plans to launch an AI cloud service powered by 50,000 AMD Instinct MI450 Series GPUs starting in the third quarter of next year. Oracle stated, "As AI demand surges, customers need open computing solutions," explaining the rationale behind their purchase of AMD chips. The initial rollout will start with 50,000 GPUs, with plans to further expand the adoption of these chips post-2027.
The MI450 GPU chip is set to be a high-performance AI-specific offering from AMD, scheduled for release next year. Following this announcement, AMDs stock closed at $218.09, up 0.77% from the previous day on the New York Stock Exchange. Founded in 1969, AMD is a fabless semiconductor company that primarily focuses on the design of GPUs and central processing units (CPUs). Although it once lagged behind NVIDIA in the GPU market and Intel in the CPU sector, AMD has steadily increased its market share in both areas through a strategy focused on cost-effective products.
Recently, AMDs products have emerged as viable alternatives to NVIDIAs high-priced GPU models in the AI GPU market for data centers. As the demand for AI technologies continues to rise, AMDs competitive positioning could lead to further gains in the market, challenging NVIDIAs longstanding supremacy. As the industry evolves, the collaboration between AMD and leading tech companies like Oracle may signify a transformative phase for AMD, potentially reshaping the competitive landscape of the semiconductor industry.
Like
0
Upvote0
- PrevAMD Supplies 50,000 Instinct MI450 Chips to Oracle, Emerging as NVIDIA Alternative
- NextMeet Michael Goldstein: The 13-Year-Old Developer Challenging Startup Norms
박성*
좋은 정보 담아갑니다.
한혜*
정말 미래적인 기술이네요. 어서 빨리 상용화 되었으면 좋겠습니다.
김샛*
정말이지 이런뉴스는 올리지 말아주세요.
No comments yet.
