In a strategic move to bolster its AI product offerings, chipmaker Advanced Micro Devices (AMD) announced its acquisition of Nod.ai, an open-source artificial intelligence (AI) software startup. This development signifies AMD’s commitment to strengthening its foothold in the competitive AI market.
In a bid to close the gap with its competitor Nvidia, AMD is committing substantial resources to develop essential software for its cutting-edge AI chips. The acquisition of Nod.ai is perfectly aligned with AMD’s AI growth strategy, which revolves around establishing an open software ecosystem that eases the barriers of entry for customers.
Nod.ai specializes in delivering fine-tuned AI solutions to prominent hyperscalers, enterprises, and startups. Its SHARK software, driven by compiler-based automation, significantly reduces the need for manual optimization and deployment time.
The inclusion of Nod.ai brings an accomplished team known for their cutting-edge software technology, designed to expedite the implementation of AI solutions optimized for AMD’s Instinct™ data center accelerators, Ryzen™ AI processors, EPYC™ processors, Versal™ SoCs, and Radeon™ GPUs.
“The acquisition of Nod.ai is expected to significantly enhance our ability to provide AI customers with open software that allows them to easily deploy highly performant AI models tuned for AMD hardware,” said Vamsi Boppana, senior vice president, Artificial Intelligence Group at AMD. “The addition of the talented Nod.ai team accelerates our ability to advance open-source compiler technology and enable portable, high-performance AI solutions across the AMD product portfolio. Nod.ai’s technologies are already widely deployed in the cloud, at the edge and across a broad range of end point devices today.”
In August 2023, AMD also acquired Mipsology to strengthen its AI inference software capabilities. The Mipsology team will play a key role in developing AMD’s comprehensive AI software stack, expanding its open ecosystem of software tools, libraries, and models, and ultimately streamlining the deployment of AI models on AMD hardware.
For the second quarter of 2023, AMD reported a revenue of $5.4 billion, with a gross margin of 46%. They reported an operating loss of $20 million, offset by a net income of $27 million.