Advanced Micro Devices (AMD) shared details on its new artificial intelligence chip that will challenge market leader Nvidia on Tuesday, June 13.
California-based AMD said that the M1300X, its most advanced graphics processing unit (GPU) for artificial intelligence, will begin launching in the third quarter, followed by mass production from the fourth quarter. AMD’s new announcement represents the most important challenge to Nvidia, which currently dominates the artificial intelligence chips market with over 80 percent market share.
AMD Announces Infinity Architecture Alongside New AI Chip
AMD announced that the latest M1300X chip and CDNA architecture have been specifically developed to meet the demands of major language models and advanced AI models.
With a maximum memory capacity of 192 GB, the M1300X allows the use of larger artificial intelligence models compared to other chips, such as Nvidia’s H100 chip, which supports a maximum of 120 GB of memory. Alongside this, AMD announced its Infinity Architecture, which combines eight M1300X accelerators in a single system and integrates eight or more GPUs for artificial intelligence applications from Nvidia and Google.
During a presentation to investors and analysts in San Francisco, AMD Chief Executive Officer Lisa Su highlighted that AI represents the company’s most important and strategically long-term growth opportunity.
Lisa Su continued her speech: “We think that the data center artificial intelligence accelerator market will increase from 30 billion dollars this year to over 150 billion dollars in 2027 with a compound annual growth rate of over 50 percent.”
If developers and server manufacturers adopt AMD’s accelerator AI chips as an alternative to Nvidia’s products, a significant untapped market could open up for the chipmaker. Known for its traditional computer processors, AMD can capitalize on this potential shift in demand.
While AMD hasn’t released specific pricing details, this action could potentially put downward price pressure on GPUs, including Nvidia’s models like the H100, which can carry price tags of $30,000 or higher.
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