Zhipu surged over 10% after reports indicated it was considering developing its own AI chips.
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Zhipu surged over 14% intraday after announcing plans to develop its own chips.
According to BlockBeats, on July 8th, Bitget data showed that Hong Kong-listed Zhipu Technology surged over 14% intraday, following its earlier disclosure that it was considering developing its own chips. Furthermore, nearly 70% of Zhipu's investors indicated they would hold the stock long-term.
ING: Nvidia's profit margins are threatened by customers developing their own chips.
According to Mars Finance, on July 7th, Jan Frederik Slijkerman of ING wrote in a report that Nvidia's ability to maintain profit margins is uncertain as tech giants develop their own chips. He pointed out that major customers such as Microsoft, Alphabet, and Amazon are developing their own custom chips to help control AI infrastructure costs (capital expenditure efficiency). He stated that, therefore, Nvidia's pricing power may face more intense competition than in recent years, making it more difficult for it to maintain its currently extremely high profit margins in the long term, despite the company's expansion into new business lines.
Zhipu plans to develop its own AI chip and has already contacted chip companies to accelerate efforts to address its computing power shortcomings.
According to sources familiar with the matter, Zhipu is evaluating the possibility of designing its own AI chip to address the rapidly growing demand for its GLM series of open-source large models and the shortage of computing resources caused by US export restrictions. Odaily has recently made preliminary contact with some Chinese chip design companies to explore cooperation in developing a customized AI processor optimized for its model operation scenarios. Zhipu is one of China's leading AI large-scale model companies, with its GLM series models attracting attention due to its open-source strategy and performance. As the application scale of large-scale models expands, high-performance computing resources have become a key bottleneck for AI companies. Developing its own chips is seen as a way to reduce dependence on external GPUs and improve computing efficiency. Currently, Zhipu AI has not yet made a final decision on whether to proceed with the chip project; the relevant plans are still in the early evaluation stage. (The Information)
News: Zhipu is evaluating its self-developed custom AI chip
According to a report by The Information, multiple sources revealed that Zhipu, a leading Chinese AI company, is considering designing its own AI chip. It is understood that with the rapidly increasing demand for its GLM series of large-scale models, coupled with increasing constraints on computing resources, Zhipu has recently made initial contact with some domestic chip design companies to explore the possibility of jointly developing a customized AI processor. The report points out that for large-scale AI model developers, developing their own chips aims to achieve hardware and software synergy optimization, improve computing efficiency, and reduce dependence on external GPU suppliers. Besides Zhipu, another domestic large-scale model company, DeepSeek, has also recently been reported to be simultaneously advancing its self-developed chip project focused on inference scenarios. Globally, top AI developers such as OpenAI (which has announced its self-developed chip Jalapeño) and Anthropic are actively developing customized chips, and the AI industry is accelerating towards a dual-track development stage of "model + chip" hardware and software integration.
Amazon's hardware chief: The company will accelerate the development of its own edge AI chips to prepare for device chip upgrades.
According to Mars Finance, Amazon's chief hardware executive recently revealed that the company is focusing on developing its own chips for key consumer devices such as the Echo Show and Fire TV. Last October, Amazon launched the AZ3 and AZ3 Pro chips, designed to enable AI models to run locally on devices. For Amazon, this focus on custom chips is also part of its broader strategy to improve the performance of on-device AI. (Cailian Press)
The South Korean government is considering extending the sovereign AI core GPU guarantee project, with a budget of up to 4 trillion won next year.
According to Odaily Odaily, the South Korean government is considering extending its support project for GPUs, a core resource for AI. On July 7th, industry sources indicated that the Ministry of Science and ICT is investigating the capacity of major South Korean cloud service providers to build additional GPUs, aiming to extend the "AI Computing Resource Utilization Infrastructure Enhancement Project." The core of this project involves government-funded purchases of GPUs, deployment in cloud service provider data centers, and support for industry-academia-research collaboration. Last year, the South Korean government allocated a budget of 1 trillion won, and this year it allocated 2 trillion won, securing over 20,000 GPUs. The project was originally scheduled to end this year, but with the surge in demand for advanced resources such as NVIDIA's next-generation GPU Vera Rubin, the South Korean government is developing comprehensive countermeasures, including data center efficiency optimization and new space security plans. It is reportedly already applying to the Planning and Budget Office for a "limited additional budget" for GPU security. Industry estimates suggest that, considering this year's GPU security budget and the government's intentions, next year's budget could reach a maximum of approximately 4 trillion won. Industry experts say that compared to the GPU supply itself, "equipment installation space" will be the key to the success or failure of the project, because running thousands of high-performance GPUs simultaneously requires a large power supply and advanced cooling systems, and the equipment installation space held by South Korean companies is nearing saturation. (ETNews Electronics)