Does AMD have the potential to break Nvidia’s dominance?

Nvidia and AMD

Developing artificial intelligence has made amazing progress, and many technical, industrial and commercial companies have quickly adopted this technology, while “graphics chips” have become the most sought-after components in the market today, as these chips are considered the growing “oxygen”. Artificial intelligence systems are breathing today.

Any company that wants to really compete in the new world of artificial intelligence needs to resort to graphics processing units, because without the power these chips provide, most of the artificial intelligence services being developed would not exist.

Currently, Nvidia dominates the market for artificial intelligence chips, with a market share of more than 80 percent, as this superiority is due to the company owning two super chips, the A100 chip and the H100 chip. It is the most powerful artificial intelligence chip available in the market today. He described it as legendary, the best in the field made by human mind, and its price reaches $40,000.

But with AMD’s MI300X graphics chip coming to market later this year, Nvidia faces the demise of its absolute dominance in the artificial intelligence chip market.

AMD has always been famous for making traditional computer processors, so if the MI300X chip succeeds in gaining market confidence, the company will have entered a new market for it in an attempt to break Nvidia’s dominance in the field.

But the question remains, does the MI300X, which AMD claims is the most advanced in the artificial intelligence industry so far, really have the specs to help break Nvidia’s dominance?

In an interview with “Sky News Arabia Economy”, digital transformation expert Rudi Shoshani said that the background for evaluating the Super MI300X chip is not only related to the chip’s technical specifications, but also needs to be taken into account. This is the first chip for AMD in the chipset industry. Artificial intelligence, which means that compared to Nvidia, the company does not have enough experience in this field, which means that the MI300X is superior to Nvidia’s H100 chip in some specifications. But no one yet knows how the performance of the MI300X and its interaction with operating systems will be, and this is considered crucial in the process of marketing the AMD chip.

According to Shoshani, the MI300X uses up to 192 GB of memory, which means it is more suitable for artificial intelligence programs than the H100 chip, which uses up to 80 GB of memory, pointing out that this matter gives the AMD chip priority. In theory and not in reality, and this chip does not have a transformer engine, which belongs to the competing H100 chip, which gives 6 times more performance and significantly faster acceleration capabilities. The effectiveness of artificial intelligence.

The real advantage of “Nvidia”.

Shoshani explains that so far the MI300X only has the “favourite” in specifications, as there are many issues related to the performance of the yet-to-be-released chip, while Nvidia chips have the “favourite” based on market confidence and speed, and a history full of successes in the field.Before the MI300X hit the market, the H100 chip Nvidia expects the specs to improve, preventing any other company from claiming it has the strongest specs.

All that said, Shoshani confirms that there is no hope that the MI300X will succeed, as the matter depends on the chip’s ability to convince companies that it is a strong chip if proven by its performance in the first half of 2024, considering that breaking Nvidia’s dominance is a “big phrase” and the market has accepted it. The size can be known. Racing against each other, to achieve innovation in artificial intelligence technologies, Nvidia will not abandon products in favor of a product that knows nothing about its performance, at least in the foreseeable future.

In an interview with “Sky News Arabia Economy”, technology analyst Khaled Moussa confirmed that talking about the level of AMD’s ability to compete with Nvidia in the production of artificial intelligence chips is premature because of the great difficulty in pulling. The rug of this industry from under it.NVIDIA’s legs that excel in many technical elements in this area.

Musa believes that the MI300X chip from AMD will be the second choice in the market after the Nvidia chipset, especially since it is available at a cheaper price than the H100, which costs $40,000, making it unaffordable for many startups. It accepts the price of Nvidia chips because this problem appeared in the market recently, so AMD’s affordable offering of artificial intelligence chips, if the MI300X proves its worth, could help the company carve out a solid place in the field. Compete functionally, knowing that AMD has not yet released the price of its new product.