AMD plans to invest over $10 billion across Taiwan’s AI sector

May 21 (Reuters) – Advanced Micro Devices said on Thursday it would invest more than $10 billion in Taiwan’s AI sector to deepen strategic ​partnerships and boost its capacity to ‌build and assemble advanced AI chips.

Analysts and investors see AMD as a leading challenger to Nvidia’s dominance in the AI chip market.

Here are some details:

• The U.S. chipmaker ‌said ​it will collaborate with Taiwanese ⁠chip packaging and testing ⁠provider ASE and its unit SPIL to develop more power-efficient technology for AI systems and processors.

• The new power-efficient technology will support AMD’s ​Venice CPUs, which are being built on Taiwan Semiconductor Manufacturing Co’s (TSMC) advanced 2 nanometer process ⁠technology.

• AMD said it was ⁠also working with Taiwanese partners including ​PTI, Sanmina, Wiwynn, Wistron and Inventec.

• “As AI adoption accelerates, ​our global customers are rapidly scaling AI infrastructure ‌to meet growing compute demand,” AMD CEO Lisa Su said.

• “By combining AMD leadership in high-performance computing with the Taiwan ecosystem and our strategic global ⁠partners, we are enabling integrated, rack-scale AI infrastructure that helps customers accelerate deployment of next-generation AI systems,” she ⁠added.

• Taiwan ‌plays a pivotal role in the ⁠global AI supply chain for companies ​including ‌Nvidia and Apple . Its position is ​anchored by ⁠the world’s largest contract chipmaker, TSMC.

• In a separate statement, AMD also said that it had started ramping up production of the Venice CPUs.

(Reporting by Ananya Palyekar in Bengaluru; Editing by Mrigank Dhaniwala and ​Sherry Jacob-Phillips)