AMD stock gets a boost as Amazon reportedly considers company's new AI chip

Shares of Advanced Micro Devices Inc. were getting a lift in Wednesday’s premarket action after Reuters reported that Amazon.com Inc.’s AWS cloud-computing business was considering using the company’s new artificial-intelligence chips.

AMD... Shares of Advanced Micro Devices Inc. were getting a lift in Wednesday’s premarket action after Reuters reported that Amazon.com Inc.’s AWS cloud-computing business was considering using the company’s new artificial-intelligence chips. AMD shares AMD were ahead 2.3% in premarket trading Wednesday after they declined 3.6% in Tuesday’s regular session following a presentation of the company’s new AI offerings.Representatives from Amazon’s AMZN AWS and AMD didn’t immediately respond to a MarketWatch request for comment on whether the companies had plans to work together.

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Once a reliable cash cow, Amazon's cloud business slows as companies pull back on serviceAmazon is kicking off its annual security-focused cloud computing conference on Tuesday amid a slowdown in its profitable cloud business Amazon Web Services, or AWS. This year’s conference, held in Anaheim, California, comes as many businesses are looking to trim their expenses amid concerns about high inflation and fears a recession might be around the corner. Amazon executives have said businesses were being cautious about their spending and cutting back on AWS features they don’t need. Despite the pullback, AWS is still expected to be a long-term revenue driver for Amazon. One analyst says companies need a place to store their data and a shared cloud model is preferable for many because it allows them to share resources.
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