Amazon hopes to challenge Nvidia more directly by selling its AI chips
Key takeaways
- If Amazon Web Services has its way, the cloud giant is going to push even deeper into Nvidia s market, in what might be one of the biggest challenges to Nvidia s AI chip dominance we ve seen so far.
- Amazon’s AI chief Peter De Santis told Bloomberg that AWS is in talks to sell its AI chip Trainium to other companies for use in data centers.
- If our chips business was a standalone business, and sold chips produced this year to AWS and other third parties (as other leading chips companies do), our annual run rate would be ~$50 billion.
Why this matters: a development in AI with implications for how people work, create, and decide.
If Amazon Web Services has its way, the cloud giant is going to push even deeper into Nvidia s market, in what might be one of the biggest challenges to Nvidia s AI chip dominance we ve seen so far.
Amazon’s AI chief Peter De Santis told Bloomberg that AWS is in talks to sell its AI chip Trainium to other companies for use in data centers. De Santis declined to specify which companies could be the buyers of such chips.
Such talks about selling chips are in the early stages, the company tells TechCrunch, and stem from Amazon CEO Andy Jassy’s annual shareholder letter in early April, in which he said the company s homegrown AI chips were so coveted that he was thinking about selling them.