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Amazon not seeing enough demand for AMD's AI chips, executive says

Dec 06, 2024 - businessinsider.com
Amazon Web Services (AWS) has not yet committed to offering cloud access to AMD's AI chips due to low customer demand, according to Gadi Hutt, senior director for customer and product engineering at Amazon's chip unit, Annapurna Labs. Despite AMD recently increasing its GPU sales forecast due to robust demand, AWS is not seeing the level of customer demand that would justify selling AMD's AI chips via its cloud service.

However, AWS and AMD remain close partners, with AWS offering cloud access to AMD's CPU server chips. Hutt stated that AMD's AI chip product line is "always under consideration". AWS also provides cloud access to other AI chips, such as Nvidia's GPUs, and recently announced the launch of P6 servers equipped with Nvidia's latest Blackwell GPUs.

Key takeaways:

  • AWS has not yet committed to offering cloud access to AMD's AI chips due to low customer demand, according to Gadi Hutt, senior director for customer and product engineering at Amazon's chip unit, Annapurna Labs.
  • AWS said last year that it was considering offering AMD's new AI chips, but 18 months later, there has been no public commitment to AMD's MI300 series.
  • Despite the lack of commitment from AWS, AMD has seen growth in its AI chips line and recently increased its GPU sales forecast due to robust demand.
  • AWS and AMD maintain a close partnership, with AWS offering cloud access to AMD's CPU server chips and AMD's AI chip product line always under consideration.
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