Microsoft is reportedly planning to debut its first AI chip in the coming month. This strategic move is likely aimed at reducing the tech giant’s dependence on Nvidia’s GPU chips.
According to a report by Gizmochina, Microsoft is expected to unveil its first AI chip next month in a bid to reduce the company’s dependence on Nvidia’s GPU chips, which are in high demand and have been in short supply.
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This news was first reported by The Information. Microsoft’s AI chip, which is codenamed Athena, is designed for data centre servers. This chip will likely compete with NVIDIA’s flagship H100 GPU, which Microsoft and other cloud companies use to run large language models (LLMs) and other AI applications.
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The new AI chip is expected to be announced at Microsoft’s Ignite conference which is scheduled to take place from November 14 to November 17.
Athena’s creation coincides with a rising need for AI chips. LLMs, in particular, need significant computing power for training and usage. This high demand for AI chips has led to a scarcity, causing prices to increase.
Meanwhile, Microsoft-backed OpenAI is also reportedly considering the idea of creating its own AI chips. The company’s goal is to decrease its dependence on chipmakers like Nvidia for these chips. This might also help Microsoft to cut costs and enhance the performance of its cloud services.
Last month, Microsoft addressed the concerns about copyright issues related to its AI-powered Copilot services with a new commitment. The commitment assures customers that they can use Copilot and its output without worrying about copyright claims. If any legal challenges arise, the tech giant will take responsibility for the potential legal risks involved. This step aims to provide clarity and confidence to users in the ever-evolving landscape of AI tools and creativity.
