Latest news with #Enosemi
Forbes
12 hours ago
- Business
- Forbes
Why AMD Stock Has Rallied 60%
INDONESIA - 2025/06/16: In this photo illustration, the AMD (Advanced Micro Devices) logo is seen ... More displayed on a smartphone screen. (Photo Illustration by Algi Febri Sugita/SOPA Images/LightRocket via Getty Images) Advanced Micro Devices stock (NASDAQ:AMD) soared by over 8% in Monday's trading session. The increase follows several significant analyst upgrades for AMD stock and favorable insights from the company's Advancing AI event held last week. The stock has now appreciated by approximately 60% since April. What factors are fueling the surge in AMD stock? During its AI day event, AMD introduced its MI350 series accelerators, which are set to launch in the latter half of this year. AMD claims that these chips will deliver four times the AI compute power compared to the previous generation. Additionally, the company provided an early look at next year's MI400/450 chips. AMD aims to enhance its position as a full-stack AI computing provider, positioning itself directly against Nvidia by expanding both hardware and software capabilities. The company has recently acquired Brium, a startup specializing in compiler and AI software optimization. AMD has also acquired Enosemi, which works on silicon photonics and optical interconnects, technologies essential for faster and more efficient data transmission as AI models grow larger. These advancements could strengthen AMD's ROCm software stack. AMD's software framework for its AI tools is open-source and follows a standards-based model, in contrast to Nvidia's proprietary CUDA ecosystem. This advantage may offer the company a competitive edge by providing a flexible and cost-effective alternative to Nvidia's AI offerings. On a separate note, see – QUBT Stock Is Up 80% In A Month. What's Happening With Quantum Computing? Although AMD's GPUs still trail behind Nvidia's at the high end, the wider AI boom—driven by large models such as OpenAI's GPT-4o and China's highly efficient DeepSeek R1—has been boosting demand across the sector. Furthermore, enterprises are increasingly seeking to diversify their chip suppliers beyond Nvidia, potentially creating new opportunities for AMD. The company has gained momentum through new GPU and AI data center agreements, including a significant $10 billion partnership with Saudi-backed AI firm Humain, signed in May. Humain plans to purchase CPUs, GPUs, and software from AMD to establish data centers and AI infrastructure. AMD also collaborates with seven of the ten largest AI model developers, including Meta, Microsoft, OpenAI, and xAI, as partners for training models. However, risks remain, especially as major cloud providers like Google and Amazon continue to invest in their own custom AI chips, which might hinder demand growth for third-party hardware over time. Refer to our analysis on AMD Valuation: Is AMD Stock Expensive Or Cheap? for further insights on AMD's valuation and its standing compared to peers. The rise in AMD stock over the past four years has been inconsistent, with annual returns exhibiting considerable volatility compared to the S&P 500. Stock returns were 57% in 2021, -55% in 2022, 128% in 2023, and -18% in 2024. The Trefis High Quality (HQ) Portfolio, comprised of 30 stocks, is significantly less volatile and has outperformed the S&P 500 during the last four years. What's the reason? As a group, HQ Portfolio stocks have delivered superior returns with reduced risk compared to the benchmark index, showing less drastic fluctuations as illustrated in HQ Portfolio performance metrics.
Yahoo
28-05-2025
- Business
- Yahoo
Advanced Micro Devices, Inc. (AMD) Acquires Enosemi to Strengthen Its Co-Packaged Optics Capabilities
Advanced Micro Devices, Inc. (NASDAQ:AMD) announced on Wednesday that it has acquired Enosemi, a company specializing in photonic integrated circuits, to strengthen its co-packaged optics capabilities within AI systems. Enosemi had previously worked with Advanced Micro Devices, Inc. (NASDAQ:AMD) as an external development partner in the field of photonics, and the acquisition builds on that collaboration. Now operating under AMD, the Enosemi team is expected to help the company scale its efforts in developing and supporting advanced photonics and co-packaged optics technologies for next-generation AI infrastructure. Co-packaged optics, the emerging technology in focus, enables data transmission using laser light over fiber optic cables between chips. This approach offers faster speeds and greater energy efficiency compared to conventional copper-based connections. The move aligns with Advanced Micro Devices, Inc. (NASDAQ:AMD)'s broader strategy to build a comprehensive portfolio tailored to the evolving demands of AI. That strategy has included the integration of Xilinx's adaptive SoC and AI Engine technologies, the addition of advanced networking through Pensando, the formation of a world-class AI software team via the acquisitions of Silo AI and Mipsology, and, most recently, the scaling of full rack-level system design through the recent acquisition of ZT Systems. While we acknowledge the potential of AMD to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than AMD and that has 100x upside potential, check out our report about this cheapest AI stock. READ MORE: and Disclosure. None. Sign in to access your portfolio
Yahoo
28-05-2025
- Business
- Yahoo
Advanced Micro Devices, Inc. (AMD) Acquires Enosemi to Strengthen Its Co-Packaged Optics Capabilities
Advanced Micro Devices, Inc. (NASDAQ:AMD) announced on Wednesday that it has acquired Enosemi, a company specializing in photonic integrated circuits, to strengthen its co-packaged optics capabilities within AI systems. Enosemi had previously worked with Advanced Micro Devices, Inc. (NASDAQ:AMD) as an external development partner in the field of photonics, and the acquisition builds on that collaboration. Now operating under AMD, the Enosemi team is expected to help the company scale its efforts in developing and supporting advanced photonics and co-packaged optics technologies for next-generation AI infrastructure. Co-packaged optics, the emerging technology in focus, enables data transmission using laser light over fiber optic cables between chips. This approach offers faster speeds and greater energy efficiency compared to conventional copper-based connections. The move aligns with Advanced Micro Devices, Inc. (NASDAQ:AMD)'s broader strategy to build a comprehensive portfolio tailored to the evolving demands of AI. That strategy has included the integration of Xilinx's adaptive SoC and AI Engine technologies, the addition of advanced networking through Pensando, the formation of a world-class AI software team via the acquisitions of Silo AI and Mipsology, and, most recently, the scaling of full rack-level system design through the recent acquisition of ZT Systems. While we acknowledge the potential of AMD to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than AMD and that has 100x upside potential, check out our report about this cheapest AI stock. READ MORE: and Disclosure. None. Sign in to access your portfolio
Yahoo
28-05-2025
- Business
- Yahoo
AMD buys silicon photonics startup Enosemi to fuel its AI ambitions
AMD has acquired Enosemi, a startup designing custom materials to support silicon photonics product development. The terms of the deal, announced Wednesday, weren't disclosed. Silicon photonics uses light — photons — to transmit data, offering a faster and more efficient alternative to traditional electrical communication. AMD and other chipmakers have shown an increasing interest in the tech. Late last year, AMD reportedly teamed up with several Taiwan startups for a silicon photonics R&D collaboration. AMD says that its acquisition of Enosemi will "accelerate [its] co-packaged optics innovation for AI systems." "As AI models grow larger and more complex, the need for faster, more efficient data movement is accelerating," Brian Armick, SVP of tech and engineering at AMD, wrote in a blog post. "Enosemi has collaborated with us as an external development partner on photonics, and this acquisition extends that successful relationship. Now, as part of AMD, the team will help us immediately scale our ability to support and develop a variety of photonics and co-packaged optics solutions across next-gen AI systems." Enosemi, based in Silicon Valley, builds and ships photonic integrated circuits — microchips containing two or more photonic components that form a functioning circuit. Founded in 2023 by Ari Novack and Matthew Streshinsky, both of whom have a background in semiconductor engineering, Enosemi offers products including optical interconnects, which integrate computing and networking components inside a data center. Prior to its exit, Enosemi raised $150,000 in VC funding from backers including New Mexico Vintage Fund. The company had 16 employees as of May, according to Pitchbook. Novack's LinkedIn profile now lists him as a silicon design engineering fellow at AMD. Enosemi is AMD's first acquisition following the company's massive deal to buy ZT Systems, for which the former originally paid around $4.9 billion. (AMD reached an agreement to sell ZT Systems' server-manufacturing business for $3 billion earlier this month.) The company is doubling down on its AI investments; in 2024, AMD's AI chip revenue reached $5 billion, CEO Lisa Su said during an earnings call in February. This article originally appeared on TechCrunch at
TechCrunch
28-05-2025
- Business
- TechCrunch
AMD buys silicon photonics startup Enosemi to fuel its AI ambitions
AMD has acquired Enosemi, a startup designing custom materials to support silicon photonics product development. The terms of the deal, announced Wednesday, weren't disclosed. Silicon photonics uses light — photons — to transmit data, offering a faster and more efficient alternative to traditional electrical communication. AMD and other chipmakers have shown an increasing interest in the tech. Late last year, AMD reportedly teamed up with several Taiwan startups for a silicon photonics R&D collaboration. AMD says that its acquisition of Enosemi will 'accelerate [its] co-packaged optics innovation for AI systems.' 'As AI models grow larger and more complex, the need for faster, more efficient data movement is accelerating,' Brian Armick, SVP of tech and engineering at AMD, wrote in a blog post. 'Enosemi has collaborated with us as an external development partner on photonics, and this acquisition extends that successful relationship. Now, as part of AMD, the team will help us immediately scale our ability to support and develop a variety of photonics and co-packaged optics solutions across next-gen AI systems.' Enosemi, based in Silicon Valley, builds and ships photonic integrated circuits — microchips containing two or more photonic components that form a functioning circuit. Founded in 2023 by Ari Novack and Matthew Streshinsky, both of whom have a background in semiconductor engineering, Enosemi offers products including optical interconnects, which integrate computing and networking components inside a data center. Prior to its exit, Enosemi raised $150,000 in VC funding from backers including New Mexico Vintage Fund. The company had 16 employees as of May, according to Pitchbook. Novack's LinkedIn profile now lists him as a silicon design engineering fellow at AMD. Techcrunch event Join us at TechCrunch Sessions: AI Secure your spot for our leading AI industry event with speakers from OpenAI, Anthropic, and Cohere. For a limited time, tickets are just $292 for an entire day of expert talks, workshops, and potent networking. Exhibit at TechCrunch Sessions: AI Secure your spot at TC Sessions: AI and show 1,200+ decision-makers what you've built — without the big spend. Available through May 9 or while tables last. Berkeley, CA | REGISTER NOW Enosemi is AMD's first acquisition following the company's massive deal to buy ZT Systems, for which the former originally paid around $4.9 billion. (AMD reached an agreement to sell ZT Systems' server-manufacturing business for $3 billion earlier this month.) The company is doubling down on its AI investments; in 2024, AMD's AI chip revenue reached $5 billion, CEO Lisa Su said during an earnings call in February.
