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Amazon’s AI chip, Trainium2, has become a major revenue generator despite competition from Nvidia. The company revealed its next-gen Trainium3 chip is 4x faster with improved energy efficiency. Amazon’s cloud customers are adopting the chip due to its cost-effectiveness and performance. The chip powers Bedrock, Amazon’s AI development platform, used by over 100,000 companies. Julie Bort’s report highlights Amazon’s strategy of offering proprietary technology at competitive prices.
Key facts
- Trainium2 generates multi-billion-dollar revenue with over 1 million chips in production.
- Amazon’s Bedrock AI platform leverages Trainium chips for enterprise applications.
- The Trainium3 chip offers 4x speed improvements while reducing power consumption.
- AWS CEO Matt Garman provided additional insights into the chip’s capabilities.
- Amazon positions its AI chips as more cost-effective than alternative GPU options.
