AMD Acquires Enosemi to Boost AI with Silicon Photonics
▼ Summary
– AMD acquired Enosemi, a startup specializing in custom materials for silicon photonics, though the deal terms were not disclosed.
– Silicon photonics uses light for faster data transmission, and AMD has shown growing interest, including a recent R&D collaboration in Taiwan.
– AMD stated the acquisition will accelerate its co-packaged optics innovation for AI systems, addressing the need for faster data movement.
– Enosemi, founded in 2023, develops photonic integrated circuits and had raised $150,000 in funding with 16 employees before the acquisition.
– This is AMD’s first acquisition after selling ZT Systems’ server business, as it focuses on AI investments, with $5 billion in AI chip revenue in 2024.
AMD has strengthened its position in AI hardware by acquiring silicon photonics specialist Enosemi, marking another strategic move in the race to develop next-generation computing solutions. While financial details remain confidential, the acquisition signals AMD’s commitment to advancing data transfer technologies critical for artificial intelligence workloads.
Silicon photonics represents a breakthrough in data transmission, using light instead of electricity to move information at unprecedented speeds with lower energy consumption. This technology has become increasingly vital as AI models demand faster, more efficient communication between processors. AMD’s purchase of Enosemi follows its recent collaboration with Taiwanese startups on photonics research, underscoring the company’s aggressive push into this space.
Brian Amick, AMD’s Senior Vice President of Technology and Engineering, emphasized the strategic importance of the deal. “AI systems require revolutionary improvements in data movement,” he noted. “Enosemi has already proven its value as a development partner, and bringing their expertise in-house allows us to accelerate innovation in co-packaged optics—key for future AI infrastructure.”
Founded in 2023 by semiconductor veterans Ari Novack and Matthew Streshinsky, Enosemi specializes in photonic integrated circuits, which combine multiple optical components into a single microchip. Their technology, including optical interconnects, optimizes data center performance by merging computing and networking functions. Before the acquisition, the Silicon Valley-based startup had secured $150,000 in venture funding and operated with a lean team of 16 employees.
This deal comes shortly after AMD’s divestiture of ZT Systems’ server-manufacturing unit for $3 billion, streamlining its focus on high-growth segments like AI. The company reported $5 billion in AI chip revenue earlier this year, reflecting its rapid expansion in the sector. With Novack now listed as an AMD engineering fellow, the integration of Enosemi’s talent and IP could prove pivotal in developing photonics-powered AI solutions.
As competition intensifies among chipmakers, AMD’s investment in silicon photonics positions it to address the escalating bandwidth demands of generative AI and large-scale machine learning. The acquisition highlights how cutting-edge materials science is becoming a battleground for semiconductor innovation.
(Source: TechCrunch)
