© Reuters. FILE PHOTO: Indicators of AMD are seen on the China Digital Leisure Expo and Convention, also referred to as ChinaJoy, in Shanghai, China July 30, 2021. Image taken July 30, 2021. REUTERS/Aly Music/File Picture
By Jane Lanhee Lee and Chavi Mehta
(Reuters) – Superior Micro Units (NASDAQ:) Inc launched its newest information heart chip on Thursday and mentioned Microsoft Corp (NASDAQ:)’s Azure, Alphabet-owned Google (NASDAQ:) Cloud and Oracle Corp (NYSE:) could be a few of its clients.
The fourth technology EPYC processor, code named “Genoa”, makes important enchancment on efficiency and power effectivity in contrast with its earlier chip, mentioned Chief Govt Lisa Su.
“What which means for enterprises and for cloud information facilities is that it interprets into decrease capex, decrease opex and decrease complete value of possession,” she mentioned.
Shares of AMD soared about 14%, mirroring the rise in friends akin to Nvidia (NASDAQ:) Corp which gained over 13% on indicators of cooling inflation. The surged 8.7%.
Genoa launches at a time when rival Intel Corp (NASDAQ:)’s newest information heart chip, code named Sapphire Rapids, has struggled with delays.
“With this newest technology, they (AMD) have made an enormous leap in efficiency not solely towards Intel, however towards their earlier technology… in order that makes the viability of an AMD-based resolution far more actual,” mentioned Bob O’Donnell, an analyst for TECHnalysis Analysis.
AMD, which launched its first EPYC information heart chip in 2017, has been steadily gaining market share on the expense of Intel, making particularly sturdy inroads with cloud service suppliers. Based on analysis agency IDC, AMD’s market share of chips, that are constructed on the x86 structure and utilized by cloud providers, went from zero in 2016 to about 29% final yr. Cloud is likely one of the greatest progress areas for semiconductors.
“IDC expects AMD will keep on monitor, proceed increase market share in public cloud deployments,” mentioned Ashish Nadkarni, datacenter and cloud analyst at IDC.
