Advanced Micro Devices stock falls 5% despite unveiling new AI, server chips

investing.com 10/10/2024 - 17:39 PM

Advanced Micro Devices' AI Chip Production Plans

Investing.com — Advanced Micro Devices (AMD) outlined plans on Thursday to increase production of its new artificial intelligence M1325X chip starting in Q4 2023. This move aims to compete with rival Nvidia (NASDAQ:NVDA) amid a growing interest in AI-related hardware.

The MI325X chip utilizes the architecture of the MI300X and introduces a new memory variation designed to expedite AI tasks. AMD discussed this advancement at its AI event in San Francisco.

Beginning in Q1 2025, vendors like Super Micro Computer (NASDAQ:SMCI) will start shipping AMD's new AI chip, which is expected to challenge Nvidia's Blackwell AI chips.

Looking towards the latter half of next year, AMD plans to unveil its next-generation MI2350 chips. These will boast enhanced performance through increased memory and a new architecture, surpassing the MI325 series.

Additionally, AMD launched a new version of its server chip, previously codenamed Turin.

However, shares of Advanced Micro Devices Inc (NASDAQ:AMD) remain down by over 3% as losses continue to persist.




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