1. Marvell Technology's data center growth surged in Q3'25, with a 98% increase driven by AI demand; 2. A major restructuring in Q3'25 refocused Marvell on data center products to enhance operational leverage and profitability; 3. Marvell's strategic partnership with AWS and advancements in custom AI silicon and optical products are expected to drive significant growth in eFY26.
Recent #Data center news in the semiconductor industry
1. Oracle's growth trajectory remains strong despite supply constraints and geopolitical risks; 2. Cloud services, now 77% of revenue, are driving growth with significant contributions from AI demand and OCI partnerships; 3. Capital investments are set to double in eFY25, with a large data center under construction.
➀ Kioxia and Pure Storage are collaborating to provide storage solutions for hyperscalers; ➁ The companies aim to offer a storage platform designed to meet the needs of hyperscale environments, with benefits such as increased performance, improved cost efficiency, and lower power consumption; ➂ Both companies emphasize the importance of all-flash technology and its role in addressing the complexities of modern hyperscale data centers.
➀ Marvell has announced a significant multi-year and multi-product win at AWS; ➁ The win includes custom AI products, optical digital signal processors (DSPs), active electrical cable (AEC) DSPs, PCIe retimers, data center interconnect (DCI) optical modules, and Ethernet switching silicon solutions; ➂ The deal is a competitive win against Broadcom and Astera Labs in various parts of the business.
➀ Intel CEO Pat Gelsinger visits Elon Musk’s Memphis data center and praises the deployment of Xeon processors; ➁ xAI team is commended for building the AI head node in a short amount of time; ➂ Intel’s financial struggles and its attempt to regain market share with Xeon chips are discussed.
1. Advanced Micro Devices (AMD) is undervalued at $138 with significant profit growth potential, especially in the booming data center segment; 2. AMD's data center sales surged 122% YoY in Q3, driven by the MI300 accelerator, positioning it as a strong competitor to Nvidia Corporation; 3. Despite short-term technical challenges, AMD's fundamentals are robust, with expected profit growth of 54% in 2024, making it a compelling investment.
1. Nvidia's Blackwell processors, initially delayed, are now in full production; 2. Nvidia's Q3 Data Center revenue hit record highs due to insatiable demand for AI accelerators; 3. Blackwell outperforms AMD's MI325X, with Nvidia's AI accelerators leading in efficiency and performance; 4. Nvidia's data center disruption is expected to drive over 100% revenue growth in fiscal 2025 and beyond.
➀ Micron introduces the 6550 ION SSD, the first 60TB SSD with PCIe 5.0 x4 interface; ➁ The drive offers high performance with 12GB/s read and write speeds and low power consumption; ➂ Aimed at AI workloads, the SSD demonstrates improved energy efficiency and endurance.
1. I rate Arista Networks a Buy due to its strong cash flow, premium valuation, and potential for value creation through M&A or increased buybacks. 2. Despite lower growth guidance, ANET's management has a history of underpromising and overdelivering. 3. The Company's premium multiple makes acquisitions highly accretive, potentially adding significant value via the valuation gap vs. the target.
➀ Microsoft is experimenting with cross-laminated timber (CLT) for new data centers in Northern Virginia to reduce its carbon footprint. ➁ The company estimates that using wood in its data centers will cut its carbon footprint by 35% compared to steel construction. ➂ Greenhouse emissions are reduced by 65% when CLT replaces precast concrete.
1. NextEra Energy can achieve significant growth through co-development projects for baseload capacity to power the hyperscalers' AI factories; 2. Management will likely need to invest more attention into nuclear and SMR development to cater to this growing demand; 3. Data center capacity is forecast to grow at a 23% CAGR through 2030 with some data centers being as large as 1GW in capacity.
➀ Nvidia's Ian Buck discusses the shift from focusing on single chips to integrated systems;
➁ The transformation of data centers into AI factories due to the rise of AI;
➂ The increasing power and cooling requirements of GPUs and Nvidia's involvement in the Coolerchips project.
➀ Solidigm, previously known as Intel, is a leading brand in the NAND solid-state drive industry, acquired by Intel and SK Hynix in 2020.
➁ The product naming rules of Solidigm are explained, using the example of a data center-oriented SSD.
➂ Advanced features of Solidigm's enterprise SSDs are highlighted.
➃ The product roadmap for PCIe NVMe includes U.2 form factor, increasing capacities, and the introduction of PCIe 5.0 products.
➄ The roadmap for SATA SSDs focuses on system drives with lower capacities and the continuation of SATA and M.2 form factors.
➀ The logic relationship between network cards, smart network cards, and DPUs;
➁ The reasons for the emergence of smart network cards and DPUs;
➂ The advantages of DPU over smart network cards;
➃ Product information of NVIDIA's BlueField-3 DPU;
➄ On-chip system layout of BlueField-3 DPU;
➅ Typical application scenarios of BlueField-3 DPU;
➆ Example of BlueField-3 DPU in VMware private cloud;
➇ NVIDIA's DPU roadmap.
➀ Xscape Photonics has secured $44 million in Series A funding; ➁ The round was led by IAG Capital Partners; ➂ Cisco Systems Inc. and Nvidia Corp. participated in the round.
➀ Kioxia introduces the XD8 series of PCIe 5.0 SSDs for data centers; ➁ The series offers sequential read speeds up to 12.5GB/s and write speeds up to 5.8GB/s; ➂ Kioxia's third generation of E1.S SSD models with NVMe 2.0 compliance and support for OCP NVMe SSD v2.5 specification.
➀ AMD unveiled a series of AI products including a new flagship AI chip, server CPU, AI network card, DPU, and AI PC mobile processor; ➁ The flagship AI chip AMD Instinct MI325X GPU uses HBM3E high bandwidth memory, with AI peak computing power reaching 21PFLOPS; ➂ AMD disclosed the latest AI chip roadmap with the MI350 series using CDNA 4 architecture, expected to be launched next year; ➃ AMD launched the world's first AI network card supporting UEC and the Pensando Salina 400 DPU, doubling performance; ➄ The fifth-generation EPYC server CPU supports up to 192 cores and 384 threads, with a top price of 14813 USD per core; ➅ AMD's third-generation commercial AI mobile processor Ryzen AI PRO 300 series is expected to be on the market with more than 1 million units by 2025.
➀ Supermicro introduces its datacenter-scale liquid cooling solution for Nvidia Blackwell servers; ➁ The solution supports up to 96 B200 GPUs per rack and includes advanced cooling components; ➂ The technology aims at ultra-dense AI servers and features rapid deployment capability.
➀ OCP is an open-source hardware project aiming to revolutionize data center hardware; ➁ OCP NICs are standardized, easy to use, and open for fast technological updates; ➂ OCP NICs offer a variety of interface speeds and are compatible with different server configurations; ➃ The development of OCP NICs is aligned with the evolution of server CPUs and network bandwidth requirements; ➄ OCP NICs are designed for space-intensive server environments.