Advanced Micro Devices (AMD) has projected a $45 billion market for artificial intelligence processors for data centre in 2023, up from its $30 billion estimate in June.
The announcement accompanied the launch of two new AI data centre chips from its MI300 lineup.
One chip, MI300X, is designed for generative AI applications and features advanced high-bandwidth memory for enhanced performance, while the other is tailored for supercomputers.
AMD CEO Lisa Su stated that the company has a “significant” supply of AI chips exceeding $2 billion for the upcoming year, with strong demand from customers.
AMD executives emphasized the rising demand for AI chips, foreseeing the data centre AI chip market growing to approximately $400 billion by 2027.
Currently, analysts estimate that NVIDIA dominates around 80 per cent of the AI chip market, including custom processors by companies like Google and Microsoft.
While NVIDIA’s data centre revenue for the year stands at $29.12 billion, AMD’s new MI300 series aims to compete directly with NVIDIA’s flagship AI processors.
In addition to the hardware launch, AMD introduced a new version of the software essential for deploying the AI chips, showcasing the company’s commitment to advancing its AI capabilities.
(With inputs from agencies)