TLDR:
AMD stock rose on news that Microsoft plans to offer AMD AI chips on its Azure cloud computing service as an alternative to Nvidia chips.
Microsoft will offer clusters of AMD’s MI300X AI chips on Azure, giving customers a choice of AMD, Nvidia, or Microsoft’s Maia chips for AI workloads.
Key Elements:
- Microsoft plans to offer AMD AI chips on Azure as an alternative to Nvidia
- Azure customers will have a choice of AMD, Nvidia, or Microsoft’s Maia chips for AI workloads
- AMD stock rose 1.1% to close at 164.47 on the news
Advanced Micro Devices (AMD) shares went up on the report from Reuters that Microsoft plans to provide its cloud computing customers a platform on AMD artificial intelligence chips as a substitute for systems running Nvidia chips. Microsoft will detail the arrangement at its Build conference next week and will preview its new Cobalt 100 custom processors, which will run May 21-23 in Seattle. Microsoft will offer clusters of AMD’s MI300X AI chips on Azure, providing customers with a choice of using either AMD, Nvidia, or Microsoft’s Maia chips to run AI workloads. AMD stock climbed 1.1% to close at 164.47, returning near its 50-day moving average line. It peaked at 227.30 on March 8 and dropped below its 50-day line on April 4 after releasing in-line results and guidance on April 30.