Amazon the chip company? Tech giant says it may sell AI chips as a product, not just a cloud service

Amazon plans to sell Trainium AI chips to external customers, putting the cloud giant in competition with Nvidia, a major supplier.

Amazon the chip company? Tech giant says it may sell AI chips as a product, not just a cloud service

TL;DR

  • Amazon may begin selling its Trainium AI chips to external customers within two years.
  • Trainium AI chips currently have $225 billion in revenue commitments through Amazon Web Services.
  • This potential shift would place Amazon in direct competition with chip manufacturer Nvidia.
  • Amazon is investing approximately $200 billion in its AI business and data center expansion this year.
  • The company is a significant player in data center chips, with its Trainium AI chips and Graviton CPUs.
  • Amazon has existing partnerships with OpenAI and Anthropic, involving significant investments and commitments for chip usage.