Microsoft Could Launch AI Chip Rivaling Nvidia Graphics Processing Unit

Microsoft has made significant investments in artificial intelligence to drive innovation. At its recent surface products launch, the company unveiled several impressive AI advancements that captivated the audience. There are now rumors circulating that Microsoft might unveil a new AI chip, which could potentially reduce costs and decrease reliance on Nvidia. The demand for Nvidia technology has been high, but the supply is struggling to keep up. Consequently, the introduction of this new AI chip could greatly benefit Microsoft’s upcoming devices.

Microsoft’s new AI chip

According to a report by The Information (via GizmoChina ), Microsoft plans to introduce a new AI chip codenamed “Athena.” The new chip is introduced to reduce Microsoft’s dependence on Nvidia technology. The upcoming product is expected to compete with NVIDIA’s H100 GPU. GPU is currently used by Microsoft and many other cloud service providers. The technology is integrated into large language models (LLM) and artificial intelligence software.

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The chip is rumored to be presented at Microsoft’s Ignite conference, scheduled for 14-17. November. The change has been decided due to the growing demand and lack of supply of Nvidia GPUs. In addition, the demand for artificial intelligence is growing and the initiative can open new doors for Microsoft. It has been rumored that OpenAI, backed by Microsoft, is also exploring the idea of developing its own AI chips.

The development of a new artificial intelligence chip may also allow Microsoft to lower its costs and improve the performance of cloud computing chips. Some reports have also indicated that Google and Amazon are also working on developing their own AI chips, which may well contribute to the growth of the AI chip market.

The company has not yet confirmed the release date of the new AI chip, but it may hit the market next month.

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