Arm CEO says moving some AI workloads from the cloud will make it more sustainable
Arm Holdings CEO Rene Haas told CNBC’s Jim Cramer on Wednesday that moving some AI functions away from the could help reduce energy usage.
Over time, he suggested, a large number of multi-gigawatt data centers won’t be sustainable.
“You look to yourself, well, what are the kind of things that need to happen? I think there’s two vectors to it,” Haas said. “One is low power, the lowest power solution you can get in the cloud. Arm really contributes there. But I think even more specifically is moving those AI workloads away from the cloud to local applications.”
While he said AI training will likely always happen in the cloud, running AI, called inference, can happen locally — meaning on the chips inside people’s phones, computers and glasses. History has shown “we always go to hybrid models around computing,” according to Haas.
He suggested that hybrid dynamic will play out when it comes to AI, which will help alleviate huge power investments.
Chip designer Arm’s technology powers devices made by a number of major Big Tech players, including Microsoft and Amazon. Semiconductor giant Nvidia has a major stake in Arm and actually attempted to acquire the company in 2020.
Arm and Meta on Wednesday said they would expand their partnership to “scale AI efficiency across every layer of compute – spanning AI software and data center infrastructure,” according to a press release. Arm stock saw gains following the announcement, finishing the day up 1.49%.
Haas told Cramer that the partnership with Meta is “largely around data centers, but more broadly…around software and the software stacks associated with it.” He also discussed Arm’s involvement in Meta’s new Ray-Ban Wayfarer glasses, saying the AI for the technology is running both in the cloud and locally.
“For example, when you say, ‘hey, Meta,’ into those glasses, that’s not happening on the cloud, that’s actually happening in your glasses, and that’s running on Arm,” Haas said.
Sign up now for the CNBC Investing Club to follow Jim Cramer’s every move in the market.
Disclaimer The CNBC Investing Club Charitable Trust owns shares of Meta, Microsoft, Amazon and Nvidia.
Questions for Cramer?
Call Cramer: 1-800-743-CNBC
Want to take a deep dive into Cramer’s world? Hit him up!
Mad Money Twitter – Jim Cramer Twitter – Facebook – Instagram
Questions, comments, suggestions for the “Mad Money” website? madcap@cnbc.com
Lisa Su, chair and chief executive officer of Advanced Micro Devices Inc. (AMD), during a fireside chat at the Indian Institute of Science (IISc) in Bengaluru, India, on Thursday, Nov. 21, 2024.
Gabriela Bhaskar | Bloomberg | Getty Images
Shares of Advanced Micro Devices jumped more than 6% on a report that IBM can utilize the company’s chips to run certain quantum computing algorithms.
IBM shares gained about 8% and headed for their best day since January.
Reuters reported on Friday that a paper will publish next week showing that IBM can run a quantum error-correction algorithm on AMD’s field-programmable gate array chips.
Representatives from AMD and IBM didn’t immediately respond to requests for comment.
In August, the two companies announced an agreement to develop quantum computing capabilities and integrate technologies. IBM has also said it plans to debut a quantum computer by 2029.
The technology utilizes quantum mechanics to address problems that traditional computers are unable to solve. Technology giants such as Google, Microsoft and Amazon are also racing to develop quantum computing.
Last year, Microsoft rolled out its first quantum computing chip, while Google launched its breakthrough WIllow. A top quantum executive at the internet search company told CNBC in March that the technology was “five years out from a real breakout.”
The various announcements have brought renewed interest to the quantum space, boosting stocks like D-Wave Quantum, Rigetti Computing, and IonQ, which all climbed on Friday.
The Trump administration on Thursday refuted a report that it was negotiating stakes in quantum companies.
WATCH: Commerce Department denies it is currently in talks for stakes in quantum companies
-
Sports2 years agoStory injured on diving stop, exits Red Sox game
-
Sports3 years ago‘Storybook stuff’: Inside the night Bryce Harper sent the Phillies to the World Series
-
Sports2 years agoGame 1 of WS least-watched in recorded history
-
Sports3 years agoButton battles heat exhaustion in NASCAR debut
-
Sports3 years agoMLB Rank 2023: Ranking baseball’s top 100 players
-
Sports4 years ago
Team Europe easily wins 4th straight Laver Cup
-
Environment2 years agoJapan and South Korea have a lot at stake in a free and open South China Sea
-
Environment1 year agoHere are the best electric bikes you can buy at every price level in October 2024