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Oracle and AMD: New AI Chip Deal Set to Transform Data Centers

Article Highlights:
  • Oracle to deploy 50,000 AMD MI450 GPUs in data centers from 2025
  • The cluster will deliver 200 megawatts of computing power for public cloud
  • AMD challenges Nvidia with new Helios racks and MI450 GPUs
  • The deal extends the Oracle-AMD partnership through 2027 and beyond
  • OpenAI and other AI firms gain access to scalable resources
  • Demand for AI chips outpaces supply in global data centers
  • Oracle strengthens its position in AI cloud services
Oracle and AMD: New AI Chip Deal Set to Transform Data Centers

Introduction

The Oracle and AMD deal on new MI450 AI chips marks a turning point for global data centers. The surging demand for AI infrastructure is driving tech giants to invest in ever more advanced and scalable solutions.

Context

Recently, companies like Oracle and AMD have accelerated partnerships to address the global AI race. Oracle, a leader in cloud services, and AMD, a processor and GPU specialist, aim to meet the growing need for computing power to develop new AI models.

Quick Definition

The new Oracle-AMD cluster will use 50,000 MI450 GPUs, delivering 200 megawatts of power for the public cloud from 2025.

Oracle-AMD Deal Details

  • Starting Q3 2025, Oracle will deploy 50,000 AMD MI450 GPUs in its data centers.
  • The cluster will provide 200 megawatts of computing power, with expansion planned beyond 2027.
  • AMD’s new Helios server racks combine MI450 GPUs and AMD CPUs, directly competing with Nvidia’s Vera Rubin series.
  • This is the first public cloud deployment of MI450 chips for multi-tenant use.

The Challenge: AI Power Shortage

AI companies like OpenAI struggle to access enough computing resources to train and launch new models. Demand outpaces supply, pushing providers to invest in new infrastructure.

Solution: Scalable AI Clusters

The Oracle-AMD partnership enables advanced AI computing power for multiple clients via public cloud, accelerating the development of chatbots, image generators, and other AI services.

Market Impact

  • AMD strengthens its position against Nvidia in the AI chip sector.
  • Oracle expands its AI cloud services, following a $300 billion deal with OpenAI.
  • The collaboration fosters innovation and competition among major market players.

Conclusion

The Oracle-AMD MI450 AI chip deal is a decisive step for the evolution of data centers and cloud services, offering new opportunities for developers and companies betting on artificial intelligence.

FAQ

Frequently Asked Questions about the Oracle-AMD AI Chip Data Center Deal

  • What is the main highlight of the Oracle-AMD AI chip deal?
    The cluster will use 50,000 AMD MI450 GPUs in Oracle data centers from 2025.
  • Why is demand for AI chips so high in data centers?
    The AI boom requires ever more computing power to train new models.
  • How does AMD position itself against Nvidia in AI?
    AMD challenges Nvidia with new Helios racks and MI450 GPUs, targeting the public cloud.
  • What are the benefits of public cloud with MI450 chips?
    It allows more companies to access advanced AI resources without direct hardware investment.
  • When will the new MI450 AI chips be available in Oracle data centers?
    From Q3 2025, with expansion planned beyond 2027.
  • Which companies will benefit most from this partnership?
    AI developers, startups, and enterprises needing scalable computing power.
Introduction The Oracle and AMD deal on new MI450 AI chips marks a turning point for global data centers. The surging demand for AI infrastructure is driving Evol Magazine
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