Mark Zuckerberg, CEO of Meta, has hired three researchers from OpenAI to bolster his company’s work on artificial intelligence. This strategic move aims to guide Meta Platforms through its current AI challenges. The social-media corporation brought aboard Lucas Beyer, Alexander Kolesnikov, and Xiaohua Zhai, all of whom previously held positions at OpenAI’s branch in Zurich, as per sources privy to this information. These individuals established OpenAI’s location in Zurich towards the end of last year. Prior to their time at OpenAI, they collaborated closely within Google DeepMind, which is the organization’s artificial intelligence division. A representative from OpenAI verified that the three scientists have departed from the organization. Zuckerberg has been on an intense recruiting drive To correct the company’s AI initiatives following the underwhelming reception of its most recent model, he has sometimes proposed giving researchers up to $100 million to become part o...
On Monday during the pre-market session, Advanced Micro Devices' stock surged over 2% following an upgrade from an analyst who recommended buying the company’s shares.
In a research report issued on Monday, Melius Research analyst Ben Reitzes suggested that AMD could secure a lasting position in the AI chip sector, even though it may not rival industry frontrunner Nvidia. He adjusted his price objective for the company’s shares upward to $175 from $110 and revised his recommendation to a 'Buy' from 'Neutral'.
"Since the start of the year, many improvements have been observed. According to Reitzes, even though the stock didn't participate in the early recovery phase, it still has significant potential ahead," he noted.
The AMD stock increased by 2.1%, reaching $130.91 during pre-market trading sessions, following a rise of 16% over the last month, largely due to positive momentum. announcement of its new artificial intelligence chips.
Earlier this month, AMD announced Its newest AI processors: the Instinct MI350 series, comprising the MI350X and MI355X, claimed to offer quadruple the performance compared to their previous model, the MI300X.
This hardware has the potential to enable AMD to secure a 5% share of the AI accelerator market, suggesting GPU sales might exceed $20 billion in 2028, as stated by Reitzes. This outlook indicates that earnings per share could surpass $9.
Nvidia is generally estimated According to analysts, approximately 90% of the AI chip market is held by these companies.
Reitzes pointed out agreements involving firms like Saudi Arabia’s Humain, which stated in May that it would join AMD plans to implement 500 megawatts of AI computing power within the coming five years.
These partnerships suggest that AMD's market share in the Middle East could be larger than its worldwide average," noted Reitzes. "Huma may reach 1.9 gigawatts by 2030 and scale up to 6 GW by 2034, with a comparable pattern anticipated in the UAE as they develop 1 GW currently and aim to expand to 5 GW. Our analysis indicates that every gigawatt represents several billion dollars in potential opportunities for AMD, despite Nvidia likely securing most of this segment.
Reitzes has increased his prediction for AMD’s GPU sales this year to $6.6 billion from the earlier estimate of $6.0 billion. He currently anticipates that AMD’s GPU revenues will reach $9.7 billion in 2026 and climb to $13.1 billion in 2027, surpassing his prior forecasts of $8.4 billion and $10.5 billion respectively.
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