AMD Strengthens AI Capabilities with Enosemi Acquisition
Advanced Micro Devices (AMD) has acquired Enosemi, a builder of photonic integrated circuits, to enhance its co-packaged optics offerings across artificial intelligence (AI) systems. The acquisition, announced on Wednesday, aims to bolster AMD’s portfolio in the rapidly growing AI sector.
The financial details of the deal were not disclosed by AMD. The acquisition comes as Silicon Valley entrepreneurs and investors are increasingly focusing on optics technology, which is expected to play a crucial role in building larger computers for AI systems. Co-packaged optics uses laser light to transmit information between chips via fiber optic cables, resulting in faster and more energy-efficient connections compared to traditional copper cables.
This move is part of AMD’s broader strategy to enhance its AI capabilities. Earlier this year, the company acquired server maker ZT Systems for $4.9 billion to expand its portfolio of AI chips and hardware, positioning itself to better compete with Nvidia, a leading AI giant.
The acquisition of Enosemi underscores the growing importance of advanced optics technology in the development of AI infrastructure. As AI systems continue to evolve and expand, the demand for faster, more efficient data transfer between chips is becoming increasingly critical.
