While this is a brilliant move by AMD, I believe it will not instantly break Nvidia's CUDA software moat nor bridge the immediate hardware gap.
Instead of fighting a losing battle trying to clone CUDA, AMD's CEO Dr Lisa Su is building a vertical end to end open AI ecosystem. This latest acquisition allows AMD to co design future silicon alongside the frontier software models that will run on them.
The Verdict: Buy the Dip or Wait & See?
It is good that AMD isn't burning through lots of money for this deal since it is an all stock transaction. However the commercial return cycle for physical AI and spatial computing may take years to fully materialise.
For long term investors : it is a compelling buy on dips scenario.
For short term investors: It is best to wait and see.
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.
- JamesWaltonΒ·09-30TOPProcess node and packaging still matter more here. AMD can narrow the gap, but matching CUDA plus rack scale integration is a multi year grind1Report
- BellaFaradayΒ·09-30TOPPatience is the whole AMD trade for me. Lisa Su is building an ecosystem, not chasing a one quarter headline π1Report
- zumaΒ·10-01thx1Report
- AuntieAaAΒ·10-01Good1Report