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AMD (NASDAQ:AMD) shares fell on Wednesday as the semiconductor giant officially took the wraps off its AI accelerator, the MI300, which it hopes will compete with Nvidia (NASDAQ:NVDA) in the data center.
At the event, AMD (AMD) CEO Dr. Lisa Su said the MI300 has three times higher performance for certain AI data types and seven times the intake performance. This comes as the company updated its forecast for the AI accelerator market, as it now sees the total addressable market of $400B by 2027, up from $150B this past August.
In October, AMD (AMD) said it expects the MI300 to generate more than $2B in sales in 2024.
The MI300x contains 153B transistors, a dozen 5 and 6 nanometer chiplets and has advanced packaging, all to aid performance, the company said. Dr. Su called it the “most advanced accelerator” in the industry, clearly referencing Nvidia (NVDA) and its H100 GPUs.
AMD (AMD) also said that the MI300 is much faster at running AI models than Nvidia’s H100, due in part to the fact that the new chip has a higher memory bandwidth than the Nvidia offering.
Nvidia (NVDA) shares fell 1.5% in mid-day trading on Wednesday.
At the event, AMD (AMD) also said the MI300 chips will be used by a number of partners, including Microsoft (MSFT) and Oracle (ORCL). Microsoft CTO Kevin Scott said that the MI300x will be available in Azure, with MI300x virtual machines in previews available today.
OpenAI’s Philippe Tillet also appeared at the event and said the ChatGPT creator is going to support AMD’s GPUs, “including MI300 in the standard Triton distribution starting with the upcoming 3.0 release.”
Karan Batta, senior vice president at Oracle Cloud Infrastructure, also said that the company will support MI300x as part of its stack and Oracle’s generative AI service, which is coming live in short order.
Meta Platforms (META) senior director engineer Ajit Mathews also said it would use the the MI300x chips in its data centers. Mathews said the MI300x will be one of the fastest design to deployment solutions in Meta’s history.
Also partnering with AMD (AMD) on the MI300 are Dell (DELL) and IBM (IBM).
Seeking Alpha’s Ravikash contributed to this story.
