Intel may need to watch its back after archrival AMD announced the surprise acquisition of Silo AI, Europe's largest private AI lab, in a move valued at approximately $665 million.
This all-cash deal marks a major step in AMD's strategy to provide comprehensive AI solutions across various platforms and sectors.
Silo AI, headquartered in Helsinki, Finland, is best known for its end-to-end AI-driven solutions, aiding enterprises in seamlessly integrating AI into their products and operations. The company boasts a team of experts who have crafted bespoke AI models and platforms for top-tier clients like Allianz, Philips, Rolls-Royce, and Unilever.
A strategic expansion
“At Silo AI, our mission from the start has been to build an AI flagship company. Today's announcement is a logical next step in that pursuit as we join forces with AMD to shape the future of AI computing,” said Peter Sarlin, CEO and co-founder of Silo AI. “We have a well-established history of building successful AI products and delivering value to our customers. We look forward to becoming part of AMD to further scale our impact and develop enterprise solutions and AI models that address the most complex challenges with deploying AI at scale today.”
The acquisition is part of AMD's broader AI strategy, which has seen the company invest over $125 million in various AI ventures over the past year, including the acquisitions of Mipsology and Nod.ai. This strategic expansion aims to bolster AMD's AI ecosystem and computing platforms.
“Across every industry, enterprises are looking for fast and effective ways to develop and deploy AI solutions for their unique business needs,” said AMD's senior vice president, Vamsi Boppana. “Silo AI’s team of trusted AI experts and proven experience developing leadership AI models and solutions, including state-of-the-art LLMs built on AMD platforms, will further accelerate our AI strategy and advance the build-out and rapid implementation of AI solutions for our global customers.”
Sarlin will continue to lead the Silo AI team under the AMD Artificial Intelligence Group, reporting directly to AMD's Boppana. The acquisition is expected to close in the second half of 2024.
