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AMD kicks off San Francisco event with new server chips
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AMD kicks off San Francisco event with new server chips
Oct 10, 2024 3:47 PM

SAN FRANCISCO, Oct 10 (Reuters) - Advanced Micro Devices ( AMD )

unveiled new server chips at an event in San Francisco

on Thursday ahead of the expected launch of its latest

artificial-intelligence processors, as it seeks to beef up its

AI chips in a market dominated by Nvidia ( NVDA ).

The company announced the availability of a new version of

its server central processing unit (CPU) design. The family of

chips formerly codenamed Turin includes a version of one of them

that is designed to keep the graphics processing units (GPUs)

fed with data - which will speed AI processing.

The flagship chip boasts nearly 200 processing cores and is

priced at $14,813. The whole line of processors uses the Zen 5

architecture that offers speed gains of as much as 37% for

advanced AI data crunching.

At the event, AMD will likely detail its MI325X chip and the

next-generation MI350 chip that it promised for this year and

next year, respectively, when it unveiled them at the Computex

trade show in Taiwan in June.

The MI350 series features increased computing horsepower and

memory, according to the company's presentation in June. The AMD

design aims to compete with Nvidia's ( NVDA ) Blackwell architecture.

The current MI300X AI chip launched late last year and AMD

has quickly ramped up production to meet demand.

In July, the company raised its AI chip forecast to $4.5

billion for the year from its previous target of $4 billion.

Demand for its MI300X chips has surged because of the frenzy

around building and deploying generative AI products.

AMD's launch on Thursday is unlikely to impact Nvidia's ( NVDA ) data

center revenue as the demand for such chips vastly exceeds the

availability.

This year analysts expect AMD to report data center revenue

of $12.83 billion, according to LSEG estimates. Wall Street

expects Nvidia ( NVDA ) to report data center revenue of $110.36 billion.

Data center revenue is a proxy for AI chips needed to build and

run AI applications.

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