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The logo of Amazon is seen on the door of an Amazon Books retail store in New York City, U.S., Feb. 14, 2019.Brendan McDermid/Reuters

Amazon.com Inc said on Tuesday it had designed a more powerful data centre processor chip, as it looks to pose a serious challenge to the domination of market leaders Intel Corp and Advanced Micro Devices Inc.

The AWS Graviton 2 processor, which is estimated to be seven times faster than its previous chip, uses technology from Softbank Group Corp-owned Arm Holdings.

Reuters reported last week that Amazon was looking to design a data centre processor chip to power its cloud unit.

Data centre processor chips are used in cloud computing, an area that is fast emerging as a big business.

With the new chip, Amazon is looking to reduce its reliance on processors made by Intel and AMD to power its money-spinning cloud business, AWS.

Intel currently controls more than 90% of the server processor market, with AMD controlling most of the remainder.

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Study and track financial data on any traded entity: click to open the full quote page. Data updated as of 24/05/24 11:41am EDT.

SymbolName% changeLast
AMZN-Q
Amazon.com Inc
-0.17%180.75
INTC-Q
Intel Corp
+2.13%30.72
SFTBF
Softbank Corp Ord
-0.43%53.75
SFTBY
Softbank Corp ADR
+0.74%27.29

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