AMD receives new AI chip orders from Oracle to purchase Instinct MI300X computing card
As previously reported, AMD’s artificial intelligence chips are anticipated to witness a sharp surge in shipments between 2024 and 2025, consequently boosting revenue. In 2024, shipments of AMD’s AI chips, primarily the Instinct MI300A, are projected to account for roughly 10% of NVIDIA’s output, with Microsoft as their most significant client, constituting over 50%, followed by Amazon. Additionally, both Meta and Google are currently examining samples provided by AMD. By 2025, AMD’s AI chip shipments are expected to rise to 30% of NVIDIA’s, if not more.
According to Wccftech, Oracle, one of the cloud computing magnates, has placed orders for AMD Instinct MI300X. However, the specifics, including quantity and pricing, remain undisclosed. These computational cards are slated for deployment by mid-next year. As per AMD’s official narrative, the Instinct MI300X is a pure GPU design, boasting eight XCDs (with a maximum of 304 CU / CDNA 3 architecture) and eight HBM3 stacks (totaling 192GB), serving as conventional accelerators in data centers.
Historically, Oracle has been one of NVIDIA AI’s largest clients. Their recent pivot towards purchasing similar chips from AMD could potentially disrupt the current competitive landscape. Sources suggest that Oracle plans to adopt a “dual-source” procurement strategy, implying simultaneous purchases of AI chips from both NVIDIA and AMD. Moreover, AMD products might be prioritized next year due to NVIDIA’s inability to meet Oracle’s purchase expectations in light of vast market demand.
Beyond Oracle, rumors suggest that IBM is also considering the procurement of AMD’s Xilinx FPGA AI solutions to augment its NeuReality AI infrastructure.
In an interview conducted in July, Dr. Lisa Su, the CEO of AMD, articulated that artificial intelligence is poised for exponential growth over the next decade. She anticipates that the market size for related products might reach $150 billion within 3 to 5 years. Furthermore, AMD has earmarked AI as a primary sector for resource allocation and investment, with future products set to integrate AI technology intrinsically.
