AMD Launches New AI Chips As Battle With Nvidia Heats Up

At a company event Wednesday, AMD launched its Instinct MI300 Series accelerator family. As previewed earlier this year, the chips are designed to handle the massive workloads in AI applications.

"This pace of innovation is faster than anything I've ever seen before," Chief Executive Lisa Su said at the San Jose, Calif. event. "For us at AMD, we are so well positioned to power that end-to-end infrastructure that defines this new AI era." Su forecast that the market for AI accelerator chips in data centers will surge 70% annually to reach more than $400 billion in 2027.

AMD unveiled the MI300 family of chips designed to handle the heavy computing workloads in AI systems. The company had projected more than $2 billion in 2024 sales from the new chips.

The rise of AI, including generative AI applications such as OpenAI's ChatGPT and Google's Bard, sparked strong demand for chips that can offer more significant processing power. Nvidia, known for powerful chips used for gaming and Hollywood special effects, took the early lead when AI started to become a big trend a decade ago. Now, AMD is looking to challenge Nvidia, whose H100 AI chip is considered the market leader. $NVIDIA(NVDA.US)$ $Advanced Micro Devices(AMD.US)$