Amazon’s โTrainium2 AI Chip Already Generating Billions, CEO Andy โฃJassy reveals
LAS VEGAS – November 30, 2023 -โ Amazon’s internally developed Trainium2 AI โคchipโ is already a multibillion-dollar business, according to Amazon CEOโข Andy jassy, signaling early successโ in the company’sโ challenge to Nvidia’s dominance โinโ the artificial โintelligence hardware market. The announcement โฃcame during AWS re:Invent, Amazon’s annual cloud computing conference.
Amazon launched Trainium2, it’s โsecond-generation AI chip, online in October. The chipโค is designed for deep learning โworkloads adn is a key component of Amazon’s strategy to offerโ competitive AI infrastructure to its cloudโค customers.โข
Amazonโข is a โคnotable investor inโฃ Anthropic,and as a result,Anthropic designated AWS as its primary model training partner. However, Anthropic’s models are also โnow available on Microsoft’s cloud platform via Nvidia chips. OpenAI is also utilizing AWS alongside Microsoft’s cloud โservices, โขthough its workloads onโค AWS currently runโค onโฃ Nvidia hardware.
Few U.S. โcompanies possess the necessary combination of silicon chip design expertise, high-speed interconnect โฃtechnology, and networking capabilities to directly compete with Nvidia. Nvidia solidified itsโ market position โin 2019 with the acquisition of Mellanox, a high-performance networking hardware maker, beating โout bids from Intel and Microsoft.
A significant hurdle for competitors liesโ in Nvidia’s proprietary CUDA โขsoftware platform, which is integral to many AI applications. Rewriting AI applications to run on non-CUDA chips presents a significant โคchallenge.
Amazon is addressing this with its next-generation Trainium4 โคchip,which will be designed to work alongside Nvidia GPUs within the same system.the impact of this interoperability – whether it will erode โNvidia’s market share or โฃsimply strengthen its positionโข within the AWS cloud โค- remains to be seen.