AMD is trying to make a dent in the AI graphics card market, but will it be able to eat into Nvidia's market share?

AMD continues to make excellent progress on the hardware and software front for advancing AI. However, AMD’s performance claims are unrealistic since they again did not use Nvidia’s optimization software. Nonetheless, the MI325 is fast and boasts a huge amount of HBM3E (288GB).

The question is, can this new chip help AMD become the next big AI winner? Read More: Earn up to $845 cash back this year just by changing how you pay at Costco! Learn more here.

Computer systems based on AMD’s MI325X processors will be available soon and have an edge over machines running Nvidia’s H100, CEO Lisa Su said at a company event in San Francisco on Thursday. The MI325X’s use of a new type of memory chip will give it better performance at running AI software — a process known as inference — she said.

Semiconductor stocks took a sharp hit on the New York Stock Exchange, with Nvidia, a leader in AI chips, seeing a nearly 5% drop.

Biden administration officials have discussed capping sales of advanced AI chips from Nvidia Corp. and other American companies on a country-specific basis, people familiar with the matter said.