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Because this is just their first generation of chips. Should Amazon stick with it, they will get better at it and costs will come down while performance goes u
by blihp 8y ago
Because this is just their first generation of chips. Should Amazon stick with it, they will get better at it and costs will come down while performance goes up. This should scare Intel because they have been banking on the data center for future growth. This looks like pretty much their last stand for a place where they can maintain margins. They lost mobile very early on. More recently it's looking like PCs are at risk thanks to competition from AMD. If they start losing their large volume enterprise customers, they'll need to come up with a plan D.
- beagle3 8y agoThat might be the first generation under the Amazon brand, but my 3 year old Synology is using an Annapurna CPU; Amazon's chips are built the Annapurna (acquired by Amazon) team.
- blihp 8y agoThere's a world of difference between designing a chip for a range of customers (i.e. pre-Amazon acquisition) and designing a chip for one customer. So provided Amazon does a reasonably good job of managing the acquisition, this really should be looked at as first generation (despite however many iterations occurred before the acquisition) since their design constraints (workload/environmental/power/thermal) have likely been altered significantly.