AMD to Acquire Finnish Startup Silo AI for US$665 Million to Step Up in AI Race

AMD to acquire Finnish startup Silo AI for US$665 million in cash. The acquisition aims to enhance AMD's AI chip capabilities and compete with Nvidia. Silo AI specialises in end-to-end AI-driven solutions and has notable clients such as Philips, Rolls-Royce, and Unilever.

Advanced Micro Devices Inc (AMD) — Credit: REUTERS

The deal aims to enhance AMD's AI chip capabilities and strengthen its position in the rapidly evolving AI landscape.

The development and deployment of large language models pose significant challenges, even for tech giants. By acquiring Silo AI, AMD aims to improve the development and deployment of AI models powered by its chips. This move will enable potential customers to build complex AI models more efficiently, leveraging the advanced technology offered by AMD.

Furthermore, the acquisition of Silo AI will also enhance AMD's software development capabilities, allowing the company to offer comprehensive end-to-end AI-driven solutions to its customers. Silo AI, based in Helsinki, Finland, specialises in integrating AI technology into products and services, catering to a diverse range of clients including renowned companies such as Philips, Rolls-Royce, and Unilever.

Vamsi Boppana, AMD's Senior Vice President of AI, expressed his optimism about the deal, stating that while it may not have an immediate impact on AMD's financial performance, it will unlock significant business opportunities in the future. However, the exact financial impact of the acquisition remains undisclosed.

Under the terms of the agreement, Silo AI's CEO and co-founder, Peter Sarlin, will continue to lead the unit as part of the AMD Artificial Intelligence Group. The deal is expected to be finalised in the second half of 2024, subject to regulatory approvals.

This acquisition is the latest in a series of strategic moves by AMD to expand its presence in the AI landscape. In the past year, the company has acquired AI software firms Mipsology and Nod.ai, and has invested over US$125 million in various AI companies.

AMD to acquire Finnish startup Silo AI for US$665 million in cash.
The acquisition aims to enhance AMD's AI chip capabilities and compete with Nvidia.
Silo AI specialises in end-to-end AI-driven solutions and has notable clients such as Philips, Rolls-Royce, and Unilever.

Source: REUTERS

AMD to acquire Finnish startup Silo AI for US$665 million in cash. The acquisition aims to enhance AMD's AI chip capabilities and compete with Nvidia. Silo AI specialises in end-to-end AI-driven solutions and has notable clients such as Philips, Rolls-Royce, and Unilever.

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