AMD acquires AI chip startup Taalas to boost inference performance by etching models into silicon

In AMD’s latest bid to upset Nvidia's dominance in AI hardware, the House of Zen has acquired AI chip company Taalas, which bakes model weights directly into silicon in a process that promises to boost inference performance by an order of magnitude or more. The deal, announced at market close on Thursday, appears to be framed in much the same context as Nvidia’s $20 billion licensing deal with Groq last December: make high-performance “premium” inference services prized for AI agents, like code assistants, faster and cheaper to run. AMD didn’t disclose the terms of the deal, but from what we understand, this is an actual acquisition rather than an acquihire. Founded in 2023 and based in Toronto, Taalas’ approach to inference is...

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