AMD rumoured to favour future AI chip production over GPUs but it's probably no reason to panic
Italian tech website Chips 'n Bits reckons it has it on good authority that AMD will «sacrifice next Radeon gaming GPUs (RX 8000) output at TSMC in order to pump up FPGA and GPGPU production.»
That more or less boils down to allocating more production capacity to AI chips than graphics cards. And it feeds into a not unreasonable fear narrative around GPU supply for gaming.
What with the crypto craze, then the pandemic and now AI, gamers have definitely had it pretty tough of late. Graphics cards prices spiked to truly ridiculous levels for 18 months or so during the pandemic. Even now, the value proposition of many current cards looks poor, though AMD's new Radeon RX 7800 XT has helped a little.
Meanwhile, we've already seen reports of AMD cancelling the high-end models of its next-gen RDNA 4 family, likely to be known as the Radeon RX 8000 Series. Indeed, some sources have reported that Nvidia has virtually ceased production of its current RTX 40 GPUs in favour of cranking out more of those money-spinner H100 AI chips. So this is already happening, people.
At least, that's the implication. But is it? And if it is, how much does it matter? There's little doubt that Nvidia is absolutely coining it with those H100 GPUs for AI inferencing. And it absolutely stands to reason that Nvidia would favour production capacity at TSMC, the Taiwanese chip foundry that manufactures all of AMD and Nvidia's current GPUs, for those more profitable chips.
Production capacity at TSMC is finite and Nvidia currently can't keep up with demand for the H100. So, every GPU made for gaming eats into the larger profits that can be made from AI chips.
However, check online and you'll have absolutely no difficulty buying any Nvidia RTX 40 GPU. From
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