Ayar Labs, which develops optical interconnect chips for large-scale AI workloads, has secured $155 million in financing, including from competing processor companies Nvidia, Intel and AMD. Founded in 2017, the Silicon Valley-based company is pursuing a different processing path — combining photonic elements with electronic circuits on each chip for what it says provides faster, more efficient processing for artificial intelligence and high-performance computing. “This brings the company’s total funding to $370 million and raises the company’s valuation to above $1 billion,” Ayar notes, adding that the new funding allows the company to scale its optical I/O tech. Continue reading Nvidia, Intel and AMD Invest in AI Chiplet Developer Ayar Labs

Amazon Web Services is building a supercomputer in collaboration with Anthropic, the AI startup in which the e-commerce giant has an $8 billion minority stake. Hundreds of thousands of AWS’s flagship Trainium chips will be amassed in an “Ultracluster” that when it is completed in 2025 will be one of the largest supercomputers in the world for model training, Amazon says. The company announced the general availability of AWS Trainium2-powered Amazon Elastic Compute Cloud (EC2) virtual servers as well as Trn2 UltraServers designed to train and deploy AI models and teased next-generation Trainium3 chips. Continue reading AWS Building Trainium-Powered Supercomputer with Anthropic

Nvidia sales were up 94 percent to $35 billion in the most recent quarter when profits more than doubled, to $19.3 billion, telegraphing the strength of the artificial intelligence boom that took the company from the top supplier of graphics boards for gaming PCs to the world’s most valuable public company with a market cap of $3.59 trillion. Nvidia founder and CEO Jensen Huang told analysts that demand for the company’s latest AI chip, Blackwell, has been “incredible,” driving projections of $3.59 trillion in revenue for the current quarter as customers begin to take shipments. Continue reading AI Boom Boosts Nvidia Sales by 94 Percent as Profits Double

Microsoft has two new chips designed for data centers. The Azure Boost DPU is Microsoft’s first data-specific chip, or data processing unit, and is designed to work with high efficiency and low power. Microsoft anticipates DPU-equipped Azure servers will be able to run storage workloads at four times the performance of those currently in place while reducing power consumption by three times. The Azure Integrated Hardware Security Module (HSM) chip allows cryptographic security keys and encryption keys to be contained in secure modules “without compromising performance or increasing latency.” Continue reading Microsoft Debuts Two New Chips Optimized for Data Centers

Amazon reported major revenue and profit increases during its third quarter, beating Wall Street’s forecasts, based largely on the company’s e-commerce sales and increasing demand for its cloud services. Capital expenditure, which reached a record amount following Amazon’s recent investments in artificial intelligence, will maintain its momentum as the company plans $75 billion capex on developing generative AI services over 2024-2025. “The faster we grow demand, the faster we have to invest capital in data centers, network gear and hardware,” explained CEO Andy Jassy. “We invest in all that upfront in advance of when we can monetize it.” Continue reading Amazon Pushes AI, Records Growth in Q3 Revenue and Profit

Manufacturers that make Arm chips license tech from British developer Arm Holdings, with the option of licensing Arm’s instruction set to build proprietary CPU designs or licensing one of Arm’s Cortex CPU designs. Amid a legal dispute that started two years ago over Qualcomm’s $1.4 billion acquisition of silicon design firm Nuvia, Arm has given its longtime partner Qualcomm a 60-day notice of its license cancellation. If the two companies do not come to an agreement in that time, Qualcomm will have to cease manufacturing Arm chips, which could have a significant impact on the global supply chain, Qualcomm’s revenue, and smartphone makers that use Qualcomm chips. Continue reading Arm Cancels Qualcomm Architecture License in Legal Dispute

Nvidia has debuted a new AI model, Llama-3.1-Nemotron-70B-Instruct, that it claims is outperforming competitors GPT-4o from OpenAI and Anthropic’s Claude 3.5 Sonnet. The impressive showing has prompted speculation of an AI shakeup and a significant shift in Nividia’s AI strategy, which has thus far been focused primarily on chipmaking. The model was quietly released on Hugging Face, and Nvidia says as of October 1 it ranked first on three top automatic alignment benchmarks, “edging out strong frontier models” and vaulting Nvidia to the forefront of the LLM field in areas like comprehension, context and generation. Continue reading Nvidia’s Impressive AI Model Could Compete with Top Brands

Competing chipmakers Intel and AMD are joining forces on an advisory group for x86 computing. Invented by Intel and launched in 1978, the x86 architecture remains one of the most widely used platforms in the world, but has already been displaced by ARM in mobile, and is now fending off a challenge from that architecture in the AI space. Also participating in the x86 advisory are Broadcom, Dell, Google, Hewlett Packard Enterprise, HP Inc., Lenovo, Meta, Microsoft, Oracle and Red Hat, joined by tech luminaries Linus Torvalds, inventor of Linux, and Epic Games founder and CEO Tim Sweeney. Continue reading Rivals Intel and AMD Team Up to Launch x86 Advisory Group

IBM is the first cloud customer for Intel’s Gaudi 3 AI accelerator chip, which it will make available in early 2025. The Gaudi 3 will be available for hybrid and on-site environments via the IBM Cloud, as part of Watsonx AI and on IBM data platforms. Gaudi 3, which began shipping in Q2 and is expected to go into mass production later this year, is IBM’s AI challenger to GPU accelerators from Nvidia and AMD, the latter having in January begun shipping its own HPC solution, the MI300X. Unlike that chip and Nvidia’s Hopper H100 and more recent Blackwell B200, the Gaudi 3 is not a GPU, but built on an architecture specifically for inference and deep learning. Continue reading IBM Cloud Is First to Widely Implement Intel Gaudi 3 AI Chips

Huawei Technologies Co. continued to grow revenue for the sixth consecutive quarter, tallying $33.6 billion for the period ending in June, a 33.7 percent increase year-over-year. The privately held company releases limited financial information. The net profit margin at the half-year mark was said to be 13.2 percent, equivalent to $7.7 billion. Bloomberg extrapolated that to profit of about $5 billion for the quarter, which represents an 18.6 percent decline over the same period last year when asset sales boosted results. The overall trend saw Huawei and other Chinese smartphone manufacturers continuing to gain ground against Apple. Continue reading Huawei Flourishes Despite Sanctions as U.S. Trial Approaches

Nvidia has had another impressive quarter. Record revenue of $30 billion in Q2 was up 122 percent from a year ago, while data center revenue of $26.3 billion marked a 154 percent increase from the same period in 2023. The performance was seen by many as an assurance of AI’s staying power, although others raised concern that if the AI companies buying chips do not start generating profits soon, the sugar high of the two-year AI boom could precede a crash. Nvidia took the occasion to tout its next-generation Blackwell chips, reassuring investors that a mid-production “tweak” would not delay release. Continue reading AI Boom Continues to Drive Strong Nvidia Revenue and Profit

California-based semiconductor manufacturer AMD is looking to take on Nvidia for a bigger share of business from the artificial intelligence boom. AMD plans to purchase data center equipment maker ZT Systems in a cash and stock deal that values the company at $4.9 billion. The deal, which is subject to regulatory approval, is part of AMD’s goal of offering a wider selection of chips, software and system designs to big data enterprise clients such as Microsoft, Google, Meta Platforms and Apple. Privately held ZT Systems, based in New Jersey, makes gear and server solutions for cloud computing and related infrastructure. Continue reading AMD Buying ZT Systems to Expand Data Center Capabilities

Samsung Electronics saw net profit rise sixfold in Q2, surging 46 percent — to $7.11 billion — compared to Q1. The buoyant results for the South Korean electronics manufacturer were driven by its semiconductor business and the demand for advanced chips needed to fuel the global boom in artificial intelligence. Although the company is the world’s top smartphone manufacturer, more than half of the quarter’s operating profit came from chip-making for the latest reporting period. Revenue for the April through June quarter resulted in a 23.42 percent increase year-over-year, while profit soared 1,458 percent. Continue reading Demand for Advanced Semiconductors Drives Samsung Profits

Rene Haas, CEO of UK chip designer Arm Holdings, thinks his company’s platform architecture could nab as much as 50 percent of the Windows PC market by 2030. That would essentially be a 400 percent leap from its current 11 percent share in a market dominated by Intel’s x86 design. Because Arm was developed for smartphones, it was driven by energy efficiency, an approach that is paying off in the era of power-hungry AI applications. Now the technology is being used for the first wave of Microsoft Copilot+ Windows laptops, and Arm has also set its sights on desktop PCs. Continue reading Arm CEO Says Company Aims to Capture Half of PC Market

Intel launched new Xeon 6 processors built for high-density AI work in data centers. Intel CEO Pat Gelsinger emphasized performance and power efficiency as he introduced the next-gen Xeon, and said that the Gaudi 3 chips for AI model training and deployment that were released two months ago are less expensive than comparable silicon from Intel rivals. “Intel is one of the only companies in the world innovating across the full spectrum of the AI market opportunity — from semiconductor manufacturing to PC, network, edge and data center systems,” Gelsinger said, embracing open standards during his keynote at Computex. Continue reading Intel’s Xeon 6 Coming to Data Centers and Lunar Lake to PCs