The World Will Eat $2 Trillion In AI Servers, AI Will Eat The World Right Back by TPM
The Next Platform, Friday, October 18th, 2024
Every time Lisa Su, chief executive officer at AMD, announces a new Instinct GPU accelerator, the addressable market for AI acceleration in the datacenter seems to expand. But, we observe, the growth rate in the AI datacenter accelerator forecast has slowed even as the ramp rate for AMD and Nvidia GPUs is speeding up.
Based on the prognostications of Su, then the inevitable math is that the world is going to consume somewhere around $700 billion to $900 billion in datacenter AI accelerators in the six years encompassing the first wave of the GenAI boom (2023 through 2028). How much depends on which AMD forecast you use. This implies worldwide spending on AI systems on the order of $2 trillion (we will show you that math in a second), and those AI platforms in turn are going to eat the world.
Hopefully not literally.