AMD has made an enormous move to strengthen its position within the AI space by buying Silo AI, Europe’s largest private AI lab. The $665m deal is a key a part of AMD’s AI push.
Silo AI was founded in 2017 and relies in Helsinki, Finland. They’re a number one AI research and development company that creates custom AI models, platforms and solutions for a lot of industries with a give attention to cloud, embedded, and endpoint computing.
Deal Details
The all-cash deal is an enormous investment for AMD. The deal is predicted to shut within the second half of 2024, subject to customary closing conditions and regulatory approvals.
Upon close, Silo AI will probably be a part of AMD’s Artificial Intelligence Group. Peter Sarlin, Silo AI’s CEO and co-founder, will proceed to steer the Silo AI team and report on to Vamsi Boppana, AMD’s Senior Vice President of the Artificial Intelligence Group. This structure will preserve Silo AI’s culture while leveraging AMD’s global scale and resources.
Silo AI’s Expertise and Products
Silo AI brings to AMD a team of over 300 AI experts across 6 countries with a history of making custom AI models and platforms for enterprise customers.
Considered one of Silo AI’s most notable achievements is the event of open-source multilingual large language models, Poro and Viking, built on AMD platforms. These models show Silo AI’s ability to create AI systems that may process and generate human-like text in multiple languages.
Silo AI has a formidable list of shoppers including global leaders like Allianz, Philips, Rolls-Royce, and Unilever. They’ve also partnered with other leading AI corporations like Aleph Alpha from Germany and Mistral from France to further strengthen their position within the European AI landscape.
What Does the Acquisition Mean for AMD?
By bringing Silo AI’s expertise in-house, AMD will have the option to speed up the event and deployment of AI solutions for its global customer base. It will help close the gap with competitors within the AI chip market.
Silo AI’s multilingual language models and custom AI solutions add to AMD’s product portfolio and permit them to handle more AI use cases. This is particularly essential as AMD looks to tackle Nvidia within the AI computing space.
Moreover, the deal strengthens AMD’s presence in Europe, a key AI development hub. By keeping Silo AI’s HQ in Finland and leveraging their existing partnerships, AMD can tap into the European AI talent pool and expand its footprint within the region.
AMD’s Recent AI Investments
The Silo AI deal is a component of a much bigger push by AMD to construct out its AI capabilities through strategic investments and acquisitions.Â
Previously 12 months:
Acquisitions: Before Silo AI, AMD acquired two other AI-focused corporations – Mipsology and Nod.ai in 2023. These acquisitions brought AI software and hardware optimization capabilities to AMD’s portfolio.
Â
Startup investments: AMD has invested over $125 million in a dozen AI startups prior to now 12 months. This enables the corporate to remain ahead of the curve and potentially integrate latest technologies into its products.
Industry Impact and Future
The Silo AI deal can have implications across the AI and chip industry. As AMD builds out its AI capabilities, it’ll potentially disrupt the present Nvidia-dominated market. It will result in faster innovation and potentially more competitive pricing for AI chips and solutions.
Going forward AMD’s AI strategy will probably be:
- Developing more powerful and efficient AI-specific chips to compete with Nvidia.
- Expanding its software ecosystem to make it easier for developers and enterprises to make use of AMD hardware for AI.
- Using Silo AI’s expertise to create more complex custom AI solutions for various industries.
- Continuing to take a position in and potentially acquire AI startups to remain ahead of the technology curve.
With the AI market growing fast, AMD is well-positioned to ride the wave of AI computing demand.
