Big Tech group’s Annapurna Labs is spending big to build custom chips that lessen its reliance on market leader
Amazon is poised to roll out its newest artificial intelligence chips as the Big Tech group seeks returns on its multibillion-dollar semiconductor investments and reduce its reliance on market leader Nvidia. Executives at Amazon’s cloud computing division are spending big on custom chips in the hopes of boosting the efficiency inside its dozens of data centres, ultimately bringing down its own costs as well as those of Amazon Web Services’ customers.
“Everybody from OpenAI to Apple is looking to build their own chips,” noted Newman, as they seek “lower production cost, higher margins, greater availability, and more control”. “It’s not about the chip, it’s about the full system,” said Rami Sinno, Annapurna’s director of engineering and a veteran of SoftBank’s Arm and Intel.
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