For AI Chips, Is Nvidia The Only Game In Town? Startup Tests Another Viable Option

The quest to find a substitute for Nvidia Corp NVDA to power ChatGPT and other artificial intelligence (AI) services prompted MosaicML to conduct a test comparing other chips.

San Francisco-based startup MosaicML claims that AI chips from Advanced Micro Devices Inc AMD are about 80% as fast as Nvidia chips.

According to Reuters, MosaicML evaluated the most sought-after AMD MI250 and the Nvidia A100, one generation behind each company's flagship chips. AMD's chip could get 80% of the performance of Nvidia's chip, courtesy of a new version of AMD software and a new version of open-source software backed by Meta Platforms Inc META called PyTorch.

MosaicML CTO Hanlin Tang believes that further software updates from AMD should help its MI250 chip match the performance of Nvidia's A100.

MosaicML used its tools, the PyTorch and AMD software, to train a language model without changing its code base, Tang explained. If developers can find AMD's chips at the right price, one can switch to these today as they are essentially switchable with Nvidia chips.

Price Action: NVDA shares traded higher by 1.03% at $427.38 premarket on the last check Monday. AMD shares traded higher by 1.13% at $115.20.

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