AMD Powers Google Cloud's New AI Servers Promising 80% Boost In Speed

Zinger Key Points

AMD teams up with Google Cloud to power new C4D, H4D VMs, promising up to 80% more throughput with Zen 5 chips.
Despite gains from new cloud deals, AMD faces pressure from China’s 34% tariffs and shrinking U.S. data center spending.
Historic Summer Setup: 3 "Power Patterns" Triggering in the next 75 Days - Get The Details Now

Advanced Micro Devices, Inc AMD on Wednesday announced the new Alphabet Inc GOOG GOOGL Google Cloud C4D and H4D virtual machines (VMs), which fifth-generation AMD EPYC processors power.

The latest additions to Google Cloud’s general-purpose and HPC-optimized VMs deliver leadership performance, scalability, and efficiency, from data analytics and web serving to high-performance computing (HPC) and AI.

Based on Google Cloud’s testing, leveraging the advancements of the AMD “Zen 5” architecture allowed C4D to deliver up to 80% higher throughput/vCPU compared to previous generations.

Also Read: Nvidia’s Custom GPU Enhances Nintendo Switch 2 With AI Features, Real-Time Ray Tracing, 4K Support

AMD SVP Dan McNamara noted that its partnership with Google Cloud enabled it to rapidly adopt the latest AMD EPYC processors and deliver consistent high-performance and cost-efficient instances for its most demanding customers.

Google Cloud VP Mark Lohmeyer noted that C4D and H4D instances powered by AMD EPYC processors can help businesses benefit from advanced performance and efficiency tailored to their cloud-native and enterprise applications.

AMD stock plunged 52% in the last 12 months as it battled with Nvidia Corp NVDA for market share.

Wedbush analyst Daniel Ives cited AMD as among the vulnerable tech companies, including Apple Inc AAPL and Nvidia, after China’s finance ministry announced a 34% tariff on all goods imported from the U.S., effective April 10, in response to the U.S. administration’s 54% duties imposed by the Trump-led administration.

Jefferies analysts expect the tariffs to continue to put downward pressure on semiconductor stocks, including AMD.

DA Davidson’s Gil Luria highlighted that companies like Microsoft Corp MSFT and Amazon.com, Inc AMZN have already begun to scale back their data center investments due to financial uncertainty.

President Trump’s sweeping new trade tariffs sparked a dramatic sell-off last Thursday. Wall Street witnessed a staggering $2 trillion wiped from market value, with the 10 largest U.S. companies alone accounting for $1 trillion of those losses.

Price Action: AMD stock is up 20.10% at $93.96 at the last check on Wednesday.

Read Next: