Why did Amazon create the CPU? What is his purpose? How many days will it take? Today’s post on this topic.
When it comes to companies releasing their custom chips, our core thesis is that saving a few dollars on chips is breakeven at best. Conveys a kind of strategic advantage. The textbook example is Apple tying its chips to its software to differentiate its phones and computers. Or Google, which adapts chips for its most intensive workloads, like video search and coding algorithms.
Why did Amazon create the CPU?
A few hundred million dollars in chip design costs is more than a package paid for in billions in additional sales for Apple or billions in capital and operational cost savings for Google. It’s important to note that the company has complete control over what software runs on its homegrown chips in both cases. We’re not just talking fixed functional logic here either, the company has spent the last few years developing real server CPUs that fit into the
million servers it has floating around. In data centers around the world. With Intel all but dropping out of the CPU market, it could have a massive impact on Intel, especially when AMD is trying to reclaim some of its market share from the chip giant.
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