AMD Challenges Nvidia's Dominance with 'Open + Full Stack' Strategy
AMD Challenges Nvidia's Dominance with 'Open + Full Stack' Strategy - Key Highlights
AMD is challenging Nvidia's dominance in the artificial intelligence (AI) market by emphasizing an 'open platform' and 'full-stack solutions' strategy. On October 28, 2025, Lee Jae-hyung, AMD Korea's Commercial Director, officially announced this strategy at an AMD media workshop in Yeouido, Seoul, signaling a shift in the AI market's competitive landscape. Lee stated AMD's commitment to building an open ecosystem through collaboration with hardware, software, and scientific communities, driving innovation in the AI market. Rather than just providing hardware, AMD plans to offer optimized AI environments for customers by delivering full-stack solutions covering the entire process from AI model development to deployment and operation. This strategy is expected to help AMD secure a differentiated competitive edge in the AI accelerator market, dominated by Nvidia, and expand its market share. AMD's 'open + full-stack' strategy is projected to increase accessibility to AI technology and promote AI adoption across various industries.
AMD's 'open platform' strategy contrasts with Nvidia's closed ecosystem. By opening its hardware, software, and development tools, AMD plans to enable developers to freely utilize its technology and develop innovative AI solutions. This aims to create an open AI ecosystem independent of specific companies, accelerating the development and spread of AI technology. AMD is also demonstrating the practical results of its 'open platform' strategy by supplying AI full-stack solutions for the U.S. Department of Energy's (DOE) next-generation supercomputer development in a $1 billion co-development collaboration. Through this collaboration, AMD will provide Instinct MI355X GPUs, EPYC CPUs, and Pensando Advanced Networking technology for the Lux supercomputer, and AMD EPYC CPUs Venice and Instinct MI430X GPUs for the Discovery supercomputer, targeted for operation in 2029. This large-scale collaboration validates AMD's technology and is expected to be a significant opportunity to strengthen its position in the AI market. The proactive support policies of the U.S. Donald Trump administration are also contributing to AMD's growth potential.
AMD's emphasis on 'full-stack solutions' is analyzed as a strategy aligned with the changing demands of the AI market. While hardware performance was crucial for AI model development in the past, 'full-stack' capabilities, including efficient deployment and operation, security, and stability, have become increasingly important. To meet these market needs, AMD plans to provide comprehensive solutions encompassing not only hardware but also software, development tools, and AI model optimization technology. This aims to enable customers to efficiently manage the entire process from AI model development to deployment and operation through AMD's solutions, and to provide AI-based services stably. Furthermore, AMD's acquisition of U.S. semiconductor company Xilinx in 2022 has secured FPGA (Field Programmable Gate Array) technology. FPGAs play a vital role in enhancing the flexible customization and energy efficiency of AI models, which is expected to strengthen AMD's 'full-stack solution' competitiveness. The digital transformation policies of the Lee Jae-myung administration in South Korea are also expected to have a positive impact on AMD.
Meanwhile, competition in the AI semiconductor market is expected to intensify further. Prior to AMD's announcement of its 'open + full-stack' strategy, Qualcomm unveiled two AI system-on-chips (SoCs) (AI200, AI250) on October 27, 2025, officially entering the AI market competition. Qualcomm announced that Saudi Arabian AI startup 'Humaine' will be the first customer for the AI200 SoC, and Humaine will receive 200-megawatt (MW) rack solutions based on Qualcomm AI200 and AI250. This illustrates Qualcomm's rapid establishment in the AI system-on-chip market. As competition intensifies among major players such as Nvidia, AMD, and Qualcomm, the AI semiconductor market is expected to accelerate technological innovation and market expansion. In particular, each company will likely strive to increase its market share through differentiated strategies that leverage its strengths, which is expected to have a positive impact on AI technology development and promote AI adoption across various industries. Market research firms project continued growth in the AI semiconductor market, anticipating that competition in AI semiconductor technology will become even fiercer.
