The furious contest to unseat Nvidia as king of AI chips
Not far away in a north Austin high-rise, designers at Amazon developed a new and faster version of an AI chip called Trainium. They then tested the chip in creations including palm-size circuit boards and complex computers the size of two refrigerators.
Those two efforts in the capital of Texas reflect a shift in the rapidly evolving market of AI chips, which are perhaps the hottest and most coveted technology of the moment. The industry has long been dominated by Nvidia, which has leveraged its AI chips to become a $3 trillion behemoth. For years, others tried to match the company's chips, which provide enormous computing power for AI tasks, but made little progress.
Now the chips that Advanced Micro Devices, known as AMD, and Amazon have created — as well as customer reactions to their technology — are adding to signs that credible alternatives to Nvidia are finally emerging.
For some crucial AI tasks, Nvidia's rivals are proving they can deliver much faster speed, and at much lower prices, said Daniel Newman, an analyst at Futurum Group. «That's what everybody has known is possible, and now we're starting to see it materialize,» he said.
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