SHANGHAI, CHINA – JULY 28, 2023 – Photo taken on July 28, 2023 shows the AMD logo at ChinaJoy 2023 in Shanghai, China.
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The US chip giant sophisticated micro devices bets on artificial intelligence computers to take on opponents including Nvidia and Intel as the artificial intelligence race heats up.
“[The market for] AI computing will continue to expand,” said Victor Peng, president of AMD, in an exclusive interview with CNBC on Thursday. He added that the company expects more adoption of AI computing in the second half of the year.
These are personal computers embedded with processors specially designed to perform AI functions such as real-time language translation.
Technology research firm Canalys said in a report in December that the boom in genetic artificial intelligence is expected to boost PC sales as consumers look for devices with artificial intelligence features, predicting that 60% of computers shipped in 2027 will be AI capable.
An explosion of interest in artificial intelligence was sparked by the launch of ChatGPT in November 2022, as the chatbot went viral for its ability to generate human-like responses to user messages.
horsepower Chairman and CEO Enrique Lores said on the fourth-quarter earnings call in November that the company was “really excited about the impact that artificial intelligence computing will have on the overall computing category,” but that it would take some time to penetrate deeply. at the market.
Initially, AI devices would be targeted at certain segments of the enterprise computing market, but more use cases and cost reductions could spread their development to the broader market over time, according to research firm International Data Corporation.
IDC expects the integration of AI capabilities into PCs to serve as a catalyst for upgrades hitting shelves this year.
“We see AI computing becoming a bigger player, and we have a good lead in AI computing with the recent announcements … I think we’re extremely well positioned, both in AI and in other traditional businesses,” Peng said.
AMD announced the Ryzen 8000G series desktop processors in January — users can “expect massive power and dominant performance for intense workloads, including gaming and content creation.”
Tough competition
AMD competes with the likes Nvidia and Intel in graphics processing units, which are important for artificial intelligence and high-performance computing.
Nvidia currently dominates the market for GPUs used in artificial intelligence applications. The most important AI models, such as OpenAI’s ChatGPT, run on Nvidia GPUs such as the H100 in the cloud.
In early January, Nvidia announced new GPUs to run productive AI applications on PCs. It will also provide GPUs to laptops from companies such as Acer, Dell and Lenovo, it said.
Intel in December released the Core Ultra chips to run AI programs faster. The company said the processors will power more than 230 of the world’s first AI PCs from companies including Acer, ASUS, Dell, HP and Lenovo.
“Artificial intelligence is going to continue to be very big this year and beyond. I mean, as big as the opportunities are already, we’re still in the early stages of AI,” Peng said.
AMD in December introduced new Instinct MI300X chip – GPUs designed for training large language models – that would compete with Nvidia’s H100 chips.
“AI is not just about data center GPUs, it’s also about servers, and we gained significant market share last year. And for servers, we expect to continue to gain market share with the MI300,” Peng said.
During the company fourth quarter earnings callAMD executive vice president Jean Hu said, “We delivered year-over-year revenue growth in the data center and embedded segments and successfully launched AMD Instinct MI300 GPUs, positioning us for a strong product ramp into 2024.”
Correction: This story has been updated to correct the month AMD announced its Ryzen processor