AMD Abandons Dense Servers, Shuts Down SeaMicro

AMD has just announced that it will exit the dense server market effective immediately. This includes shutting down the SeaMicro business unit, which was spearheading microserver development.

SeaMicro was founded in 2007 and it specialized in designing dense servers otherwise known equally micro servers. Dumbo servers differ from traditional enterprise servers in the type and quantity of the processors used. Dense servers rely on a significantly larger quantity of small, low power, highly efficient CPUs. In contrast to traditional enterprise which relies on larger, high functioning focused machines. The idea behind it is that depending on the type of workload a dumbo server tin can be both less expensive to buy and to operate, through reduced power and cooling costs, compared to traditional servers.

AMD Abandons Dense Servers, Shuts Downwardly SeaMicro To Refocus Research And Development On Traditional Server CPUs

AMD acquired SeaMicro for $334 million back in 2022 nether the company'southward previous CEO Rory Read. Information technology was seen as a chance to tackle the dense server market which was believed to exist major future growth opportunity at the time. According to AMD'due south CEO Lisa Su's remarks in the latest earnings briefing call AMD will no longer pursue this market. AMD volition instead refocus its efforts to re-enter the high functioning, traditional, enterprise and server markets. Equally part of this restructuring action, AMD has taken a $75 meg special accuse that is "primarily related to impairment of previously acquired intangible assets". AMD volition maintain ownership of all SeaMicro intellectual holding and will proceed to use it in products where information technology's of benefit.

AMD pioneered the 64bit loftier performance server market with the original Opetron. The globe'due south first 64bit processor and 1 of the visitor's most successful server product to date. Lisa Su remarked that AMD is very optimistic about the medium term financial success and growth in the server marketplace that will be fueled by visitor's upcoming high performance x86 and ARM based products. While they were not mentioned by proper noun, we're certain that Zen and K12 are being referred to here.

Zen and K12 are the company'due south upcoming high functioning x86 and ARMv8 64bit sister cores. These will get into everything from server parts, to embedded solutions, semi-custom designs and client CPU and APU products.
SeaMicro wasn't every bit successful as AMD had hoped. Merely launching one production under AMD since the conquering in 2022. Sometimes the best mode to get forrard is to take a step back and look at how past successes were achieved. So perchance shutting downwardly an unsuccessful business unit of measurement and going dorsum to its roots makes the most sense.