Table of Contents
AI PCs are personal computers with processors that can perform artificial intelligence (AI) functions such as real-time language translation, voice recognition, and image processing. These devices are expected to boost PC sales and demand as consumers and businesses seek more AI features and capabilities.
AMD, the U.S. chip giant, is betting on AI PCs to take on its rivals Nvidia and Intel in the AI race, which is heating up in 2024. The company has launched new processors and graphics cards that are designed for AI PCs and data centers, aiming to gain more market share and leadership in the AI field.
AMD’s AI PC strategy
In a recent interview, Victor Peng, the president of AMD, expressed his optimism about the future of AI PCs. According to Peng, the market for these advanced computers is set to grow even further, with the second half of the year expected to witness a significant increase in their adoption.
This highlights the increasing importance of AI technology in our daily lives and the potential it holds for transforming various industries.
Peng expressed his confidence in our position in the AI market, stating that AI PCs are gaining more prominence. With our recent announcements, we have established a strong lead in this field. Not only are we excelling in AI, but we are also maintaining a strong presence in other traditional businesses.
In January, AMD announced the Ryzen 8000G Series desktop processors, which offer “immense power and dominant performance for intensive workloads including gaming and content creation.” These processors are also optimized for AI applications, such as generative AI, which can create realistic content such as text, images, and audio.
Generative AI has sparked an explosion of interest in AI since the launch of ChatGPT, a chatbot that can generate human-like responses to users’ prompts, in November 2022. ChatGPT runs on Nvidia’s H100 GPUs, which are currently the most popular GPUs for AI models in the cloud.
However, AMD is challenging Nvidia’s dominance with its new Instinct MI300X chips, which are graphics processors designed for large language model training, such as ChatGPT. AMD launched these chips in December and said they would compete against Nvidia’s H100 chips in terms of performance and efficiency.
Peng confidently stated that AI encompasses more than just data center GPUs; it also includes servers. Last year, we made remarkable strides in the market, and we anticipate further growth in market share with the introduction of the MI300 servers.
AMD’s executive vice president Jean Hu said during the firm’s fourth-quarter earnings call that the company drove year-over-year revenue growth in its data center and embedded segments and successfully launched its AMD Instinct MI300 GPUs, positioning it for a strong product ramp in 2024.
AI PC market outlook
According to tech research firm Canalys, the boom in generative AI is expected to boost PC sales as consumers are seeking devices with AI features, predicting that 60% of the PCs shipped in 2027 will be AI-capable.
The firm also said that AI PCs will catalyze upgrades, hitting shelves this year. Initially, AI-powered devices would be targeted at some segments of the enterprise PC market, such as education, healthcare, and retail, but more use cases and cost reductions could spread their deployment to the broader market over time.
Another research firm, International Data Corporation (IDC), also expects the integration of AI capabilities into PCs to drive PC demand and innovation. The firm said that AI PCs will enable new user experiences, such as natural language processing, facial recognition, and gesture control, as well as enhance productivity, creativity, and security.
Nevertheless, AMD does not stand alone in the AI PC market. Intel, the leading chipmaker globally, has also introduced Core Ultra chips in December to enhance the speed of AI programs. Intel proudly announced that these processors will be the driving force behind over 230 cutting-edge AI PCs manufactured by renowned companies such as Acer, ASUS, Dell, HP, and Lenovo.
In early January, Nvidia, the unrivaled champion in GPUs, made a groundbreaking revelation by unveiling a fresh lineup of GPUs specifically designed to power up generative AI applications on personal computers.
But that’s not all! Brace yourself for more mind-blowing news, as Nvidia also disclosed its plans to equip laptops from renowned brands like Acer, Dell, and Lenovo with their cutting-edge GPUs. Prepare to witness a whole new level of AI-powered brilliance on the go!
Peng expressed his belief that AI will remain a significant force not only in the current year but also in the future. He emphasized that despite the vast opportunities AI already presents, we are still at the initial stages of its potential.
AMD is confident that its AI PC strategy will give it an edge over its competitors and help it capture more of the AI market, which is expected to grow rapidly in the coming years. AI PCs are not only a new product category, but also a new way of computing that could transform the PC industry and the world.
