AMD is looking to quickly integrate Xilinx technology into its CPU business, but perhaps more importantly, it is developing software to enable a broad portfolio of applications for its hardware.
During a recent earnings call, AMD CEO Lisa Su said the company sees opportunities to deliver stronger products through technology acquired from its merger with Xilinx in February.
“As an example, we are integrating Xilinx’s differentiated AI engine into our CPU product portfolio to enable cutting-edge inference capabilities, with the first products expected in 2023,” Su said.
Xilinx’s expertise adds to the strengths of an earlier acquisition, Pensando, which develops intelligent, programmable software to support software-defined cloud, compute, networking, storage and security services that could be rapidly deployed at the edge, in colocation or in service. – supplier networks. The Pensando team puts a lot of effort into its GPUs, Su said, “So I think overall you should see us investing a lot more in software.”
Victor Peng, former CEO of Xilinx and now head of AMD’s adaptive and embedded computing group, said the AI engine is already deployed in a number of applications and endpoints embedded in devices. outskirts, like in cars.
“They do a lot of image recognition, all kinds of inference apps and this same architecture can be scaled and integrated into the CPU product portfolio, and as we alluded to, that’s exactly our plane,” he said.
He added that AMD is also working on the unified global software to enable the broad portfolio, but especially in AI. He said there would be more discussion on the topic at Financial Analyst Day on June 9.
AMD’s rival in the GPU space, Nvidia, has made a massive investment in software. Many analysts point out that Nvidia does not see itself as a hardware company but rather a software company, and has five times as many software developers as hardware developers on its staff.
AMD must therefore catch up, and that is what it seeks to do.
A good quarter for revenue
When it comes to financial results, five years ago reading an AMD quarterly statement was about as enjoyable as reading an obituary, but that has changed.
For the first quarter, it posted 70% year-over-year sales growth to a record first quarter of $5.89 billion, and AMD is forecasting second-quarter revenue of between 6 .3 and 6.7 billion. This is notable because the first and second quarters tend to be slower quarters for chip companies like Intel and Nvidia. Business sales tend to be scattered and at the mercy of release cycles, but consumer sales are tied to Christmas and back-to-school, so the third and fourth quarters are big quarters, while the first and second trimesters are where things go downhill. But not here.
During the six weeks of the first quarter that Xilinx was part of the company, it generated $559 million in revenue and is on track to contribute $1 billion in the next quarter. AMD raised its revenue forecast for the year to around $26.3 billion for the year. Five years ago they were lucky enough to get $4 billion.
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