AMD Acquires Europe’s Largest Private AI Lab, Silo AI for $665M
Advanced Micro Devices (AMD) has announced a definitive agreement to acquire Silo AI, Europe’s largest private AI lab, for approximately $665 million. This acquisition represents a significant milestone in AMD’s strategic endeavour to enhance its AI capabilities, particularly in response to the competitive pressures from industry leader Nvidia. The transaction, set to close in the latter half of 2024, underscores AMD’s commitment to bolstering its AI software and hardware offerings.
As a next step on our journey, Silo AI is excited to announce that we’ve joined forces with @AMD. Silo AI and AMD have an aligned mission to create a global leader that will shape the future of computing. Please find below a link to the press release.https://t.co/WuGOGEzwUYpic.twitter.com/vKfezJnWjQ
The acquisition of Silo AI is not merely a financial manoeuvre but a strategic integration of expertise. As Vamsi Boppana, Senior Vice President of the Artificial Intelligence Group at AMD, stated, “Silo AI’s team of trusted AI experts and proven experience developing leadership AI models and solutions, including state-of-the-art LLMs built on AMD platforms, will further accelerate our AI strategy and advance the build-out and rapid implementation of AI solutions for our global customers.” Silo AI’s proficiency in creating bespoke AI models and platforms, particularly their open-source, multilingual large language models (LLMs) like Poro and Viking, will be instrumental in this acceleration.
AMD has been clear about the intended benefits of this acquisition. The primary goal is to enhance AMD’s AI skillset significantly. The Silo AI team, consisting of over 300 AI scientists and engineers, including 125 PhD-level experts, will provide the necessary expertise to improve AMD’s AI chip capabilities and software stack development. This move is particularly critical as AMD seeks to compete more effectively with Nvidia in the burgeoning AI market.
Expanding Global Reach
Europe’s two largest AI players Aleph Alpha and Silo AI enter a strategic partnership to revolutionize AI in Europe.https://t.co/dmLncwnMmQ#AI#partnership
Silo AI’s global operations, spanning Europe and North America, coupled with their robust client base that includes industry giants such as Allianz, Philips, Rolls-Royce, and Unilever, provide AMD with a substantial footprint in diverse markets. Peter Sarlin, CEO and Co-Founder of Silo AI, highlighted the synergy of this acquisition: “At Silo AI, our mission from the start has been to build an AI flagship company. Today’s announcement is a logical next step in that pursuit as we join forces with AMD to shape the future of AI computing.”
The acquisition is poised to enhance AMD’s ability to meet the growing demand for AI integrations across various industries. According to Mats Agervi, Founder and CEO of Combient, the acquisition underscores Silo AI’s capabilities and opens up expanded opportunities for increased value creation in Europe and beyond.
Enhancing Open-Source AI Solutions
One of the strategic advantages of integrating Silo AI is the enhancement of AMD’s open-source AI software capabilities. Silo AI has been pivotal in training large-scale AI models on LUMI, Europe’s fastest supercomputer powered by over 12,000 AMD Instinct MI250X GPUs. Dr. Pekka Manninen, Director of Science and Technology at CSC-IT Center for Science, noted the importance of this collaboration: “Together with university collaborators, they have trained state-of-the-art open-source models for EU languages, such as the Nordic Poro and Viking models.”
This expertise in large language model training and optimisation will be invaluable as AMD looks to streamline the efficiency of AI training and inference on its computing platforms. The Silo AI team’s experience in developing AI-driven solutions that help customers integrate AI seamlessly into their products and services will bolster AMD’s position in the AI ecosystem.
This acquisition is part of AMD’s broader strategy to solidify its position in the AI market. Over the past year, AMD has invested over $125 million in a dozen AI companies and acquired AI software firms Mipsology and Nod.ai. These investments aim to expand the AMD AI ecosystem, support partners, and advance AMD’s computing platforms.
As the AI race intensifies, AMD’s acquisition of Silo AI marks a strategic step to ensure that it remains at the forefront of AI innovation. By integrating Silo AI’s extensive expertise and leveraging its proven AI models and solutions, AMD is well-positioned to accelerate its AI strategy and provide enhanced solutions to its global customers.
Conclusion
The acquisition of Silo AI by AMD is a strategic move that promises to enhance AMD’s AI capabilities and market position significantly. By integrating Silo AI’s expertise in AI model development and deployment, AMD aims to accelerate its AI strategy, expand its global reach, and enhance its open-source AI software capabilities. This acquisition marks a critical step in AMD’s journey to become a leader in the AI industry, positioning itself to compete more effectively with industry giants like Nvidia and meet the growing demands of the AI market.
