On January 23rd, Science and Technology Innovation Board Daily reported that as one of AMD's powerful products to compete with Nvidia, the first batch of Instinct MI300X has begun to be delivered to customers.
LaminiAI CEO Sharon Zhou stated that the company has received AMD's Instinct MI300X GPU for AI and HPC and plans to use it for large models.
Known AMD Instinct MI300 series customers include giants such as Meta, Google, and Microsoft, while LaminiAI is the first company to publicly use the MI300X. Tom Hardware pointed out that this is an important milestone for AMD, and it is also the first time that the outside world has learned about the bulk shipment of MI300X.
AMD and Nvidia have always been known as the two giants in the graphics market, and now they are more eager to catch up with or even surpass Nvidia through the AI craze. CEO Su Zifeng has identified AI as AMD's top strategic priority and has launched products such as the MI300 series to compete with Nvidia.
In AMD's MI300 series, the Instinct MI300A is a data center APU that combines GPU cores, Zen 4 CPU cores, and 128GB HBM3, with a total of 146 billion transistors. It integrates chips produced by 5nm and 6nm processes using 3D packaging.
The Instinct MI300X, on the other hand, is a GPU based on the AMD CDNA 3 architecture, with a total of 153 billion transistors. It integrates chips produced in 5nm and 6nm processes, utilizes 3D packaging technology, and is equipped with 192GB HBM3. Compared to the previous generation Instinct MI250X, MI300X emphasizes bringing nearly 40% computational unit improvement, up to 1.5 times memory capacity improvement, and up to 1.7 times peak theoretical memory bandwidth improvement to AI and HPC workloads.
According to AMD's testing, compared to the Nvidia H100 HGX platform (BF16/FP16), the MI300X platform has a 2.4-fold increase in memory capacity and a 1.3-fold increase in computing power, while maintaining a considerable sum of bidirectional and single node ring bandwidth.
Recently, AMD's stock price has hit new highs. On the latest US stock trading day (January 22nd local time), it once again hit a historic high during trading.
Several institutions have recently raised their AMD target prices and are optimistic about the prospects of product demand. In the view of analysts, the MI300 is becoming an increasingly powerful alternative to the artificial intelligence market, driven by customer demand and expectations for a second supplier besides Nvidia.
KeyBanc Capital Markets analyst John Vinh reiterated his buy rating for AMD and raised the AMD target price from $170 to $195. Vinh believes that AMD will become one of the biggest beneficiaries of AI, especially in its AI products and services. The demand for processors such as MI300X has undergone substantial changes, and the demand for the processor platform Genoa is also increasing. It is expected that the demand for MI300 may reach as high as $8 billion in 2024, higher than previous estimates of $3 billion to $4 billion.
But some analysts have given different opinions.
On January 22, Northland Capital Markets, a US investment bank, downgraded its AMD stock rating from "outperform" to "market performance", believing that the benefits of artificial intelligence technology have been absorbed by the stock price.
Northland analyst Gus Richard pointed out in the latest investor report that it is predicted that the market size of AI chips will reach $125 billion by 2027, with AMD's sales of $16 billion and market share of approximately 13%; It is expected that AMD's total revenue for the same period will reach $45 billion, and the current stock price reflects a significantly higher revenue than this figure.