AMD CEO Sees $150 Billion Future In AI, New Chip To Take On Nvidia

Following a two-hour-long Data Center and AI Technology premiere, Advanced Micro Devices, Inc. AMD CEO Lisa Su appeared on CNBC to provide a deeper look at the company’s AI technologies and vision for the future of data centers.

The Key Takeaway? AMD is bullish on the growth potential of AI, predicting the technology could help the market balloon to $150 billion by 2027 from its current size of $30 billion.

“AI is the defining megatrend for technology right now,” she said, acknowledging the impact the tech is having across all sectors.

The company’s latest GPU, the MI300, is designed explicitly for AI, specifically for the use case of large language models like OpenAI’s GPT-4.

Su confirmed the company’s plans to roll out the MI300 to customers in the third quarter, with full production planned for the end of the year.

AMD is working closely with a wide variety of partners and customers in the AI and GPU space, including large cloud manufacturers and enterprise firms. However, Su declined to name the specific customers for the MI300.

Related: AMD’s AI Tech Premiere: Everything That Was Announced

Su did reveal that the company had seen significant demand for GPUs in the AI space for both training and inference.

Moments earlier, AMD announced partnerships with many mega clients including Amazon.com, Inc. AMZN, Oracle Corporation ORCL, Meta Platforms Inc META, Hewlett Packard Enterprise Co HPE by way of Aruba Networks, and more.

Su also emphasized the company’s commitment to the software ecosystem, “AI software ecosystem is as important as AI hardware," expressing optimism about the software ecosystem coming through partnerships and co-development.

When asked about competition with Nvidia Corporation NVDA, Su expressed optimism about AMD’s progress. It should be noted AMD's new Instinct MI300 accelerators are set to compete with Nvidia's Grace Hopper superchip.

Su explained that AMD, being one of only two GPU technologies, is in a strong position to gain more market share. She noted the company’s pride in its customer relationships and touted the growing partnerships with major companies noted above.

Given the current geopolitical tensions and the potential for more sanctions, Su acknowledged the dynamic nature of the market regarding China. However, she noted that much of AMD's consumer-facing products are shipped to the Xi Jinping-led country, and the company is watching any developments closely.

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