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AMD to buy AI inference chip startup Taalas to enhance its AI stack
The Toronto-based deal, announced Aug. 6 and subject to regulatory approval, is designed to reduce compute and memory bottlenecks in AI inference and feed it into AMD Instinct GPUs and the ROCm software stack.
AMD confirmed an agreement to buy Taalas, a Toronto-based startup building specialized silicon for AI inference, as it looks to extend its AI hardware roadmap while addressing how fast the market expects its AI platform to scale. The deal was confirmed Aug. 6 and remains subject to regulatory approval.
Taalas technology optimizes data movement during AI inference to cut compute and memory bottlenecks that can slow general-purpose chip designs. AMD said it plans to incorporate the approach into its accelerator roadmap and pair it with AMD Instinct GPUs, adding to a platform that spans Helios rackscale systems, EPYC CPUs, and the ROCm software stack.
AMD also said the acquisition supports its presence in Canada, where it intends to keep growing its engineering talent base. On the operating side, AMD reported record second-quarter revenue of $11.5 billion, up 50% year over year, with data center revenue rising 107% to $6.7 billion.
In the same quarter, adjusted EPS increased 246% to $1.66 and operating margin improved to 17%, compared with a 2% loss a year earlier. CEO Lisa Su said AMD has lined up 6 gigawatts of committed capacity from OpenAI and Meta Platforms for its new MI450 chips and Helios racks, and she pegged the AI data center chip market at $1.4 trillion annually by 2030.