The Chinese e-commerce giant Alibaba launched a new server chip, Yitian 710, which it hopes will help boost its cloud computing business and compete against U.S.-based companies like Amazon in this sector of the tech world.
Alibaba’s in-house semiconductor unit, T-Head has developed this new chip, the Yitian 710. Based on architecture from UK-based Arm Ltd., this processor will not be available for commercial use outside of Alibaba and goes into their Panjiu servers. The Yitian 710 is the first server chip to be based on an improved generation of 5-nanometre process technology and it’s explicitly designed for workloads that require high performance.
Alibaba is the largest cloud computing provider in China by market share and one of only three companies globally with that distinction (according to Gartner). Alibaba’s latest technology has been designed for artificial intelligence applications and storage. The chips are not to be directly sold to customers. Instead, Alibaba’s cloud computing clients will purchase services based on these cutting-edge technologies in order of their demand level.
Alibaba will not be manufacturing the semiconductor; instead, it will be designing it. This has been a trend with other big tech companies in China and even the US companies like Google and Amazon to design their tech chips instead of manufacturing.