{"id":231807,"date":"2026-06-16T16:55:02","date_gmt":"2026-06-16T16:55:02","guid":{"rendered":"https:\/\/teknomers.com\/en\/bytedance-believes-intel-and-amd-are-too-expensive-theyre-creating-their-own-cpus\/"},"modified":"2026-06-16T16:55:04","modified_gmt":"2026-06-16T16:55:04","slug":"bytedance-believes-intel-and-amd-are-too-expensive-theyre-creating-their-own-cpus","status":"publish","type":"post","link":"https:\/\/teknomers.com\/en\/bytedance-believes-intel-and-amd-are-too-expensive-theyre-creating-their-own-cpus\/","title":{"rendered":"ByteDance Believes Intel and AMD are Too Expensive: They\u2019re Creating Their Own CPUs"},"content":{"rendered":"\n
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ByteDance’s Shift: Leaving Intel and AMD Behind<\/h2>\n

ByteDance, the company behind TikTok, has long relied on Intel and AMD for its data center processors. However, a significant shift is underway as ByteDance announces it will develop its own CPUs. This decision stems from a combination of supply shortages and price increases that have made reliance on third-party suppliers untenable.<\/p>\n

The Price Surge and Its Implications<\/h3>\n

Recent reports indicate that Intel and AMD have raised their prices by 10% to 35% each quarter, placing substantial financial pressure on ByteDance. The company, which plans to invest approximately $22.8 billion in AI infrastructure by 2026, has reached a tipping point. It’s not just the rising costs but also a fundamental change in AI usage that necessitates this pivot away from established suppliers.<\/p>\n

As the industry evolves from mass model training\u2014an area dominated by Nvidia GPUs\u2014to AI inference, the demand for powerful CPUs has surged. This transition has led to increased reliance on CPUs, causing Intel and AMD to struggle to meet the skyrocketing processor demand. Notably, Lip-Bu Tan\u2019s company has warned that delivery times for processors may extend up to six months. With AMD CEO Lisa Su acknowledging that the global CPU market remains in a tight spot, Beijing’s tech landscape is set for disruption.<\/p>\n

ByteDance’s Dual Strategy: Arm and RISC-V<\/h2>\n

ByteDance is implementing a two-pronged approach in its development of CPUs. The company is simultaneously working on processors based on two distinct architectures: Arm and RISC-V. The latter is an open-source standard that has garnered significant interest in China due to its independence from Western licenses.<\/p>\n

This parallel development strategy reflects the cautious approach many tech giants take before committing to large-scale production, ensuring they\u2019ll have viable options depending on market and technical conditions.<\/p>\n

Collaborations and Future Ventures<\/h3>\n

ByteDance has also been proactive in boosting its talent pool for chip design since 2022. For instance, in 2024, the company teamed up with Broadcom to create a custom AI accelerator, manufactured using TSMC’s cutting-edge 5nm lithography, famously dubbed the SeedChip. While this accelerator is a step toward reducing dependence on external suppliers, the general-purpose CPU that ByteDance is developing signifies another critical piece of its larger puzzle.<\/p>\n

The Competitive Landscape: Nvidia’s Ambitions<\/h2>\n

The competition in the CPU and AI processing market is intensifying. Nvidia, known for its dominance in GPUs, is now also entering the CPU arena with its Vera processors. The company’s ambition highlights an additional $200 billion opportunity, signaling a competitive shift within the industry. In a bid to solidify its growing market share, Nvidia has introduced an inference system developed with Groq technology.<\/p>\n

Despite these developments, ByteDance continues to depend on Nvidia for GPUs at present but is establishing itself within this dynamic landscape. As the market evolves, the strategic decisions made by ByteDance could significantly alter the competitive dynamics of the AI processing ecosystem.<\/p>\n

In conclusion, ByteDance’s decision to develop its CPUs marks a turning point that not only paves the way for a more sustainable operational model but also serves as a response to the fluctuating landscape of processor supply and demand.<\/p>\n<\/div>\n


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General News – 2<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

ByteDance’s Shift: Leaving Intel and AMD Behind ByteDance, the company behind TikTok, has long relied on Intel and AMD for its data center processors. However, a significant shift is underway as ByteDance announces it will develop its own CPUs. This decision stems from a combination of supply shortages and price increases that have made reliance […]<\/p>\n","protected":false},"author":1,"featured_media":231808,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[36399],"tags":[37174,211,53922,51685,7860,451,36977,13543],"class_list":["post-231807","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-technology","tag-amd","tag-believes","tag-bytedance","tag-cpus","tag-creating","tag-expensive","tag-intel","tag-theyre"],"_links":{"self":[{"href":"https:\/\/teknomers.com\/en\/wp-json\/wp\/v2\/posts\/231807","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/teknomers.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/teknomers.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/teknomers.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/teknomers.com\/en\/wp-json\/wp\/v2\/comments?post=231807"}],"version-history":[{"count":1,"href":"https:\/\/teknomers.com\/en\/wp-json\/wp\/v2\/posts\/231807\/revisions"}],"predecessor-version":[{"id":231809,"href":"https:\/\/teknomers.com\/en\/wp-json\/wp\/v2\/posts\/231807\/revisions\/231809"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/teknomers.com\/en\/wp-json\/wp\/v2\/media\/231808"}],"wp:attachment":[{"href":"https:\/\/teknomers.com\/en\/wp-json\/wp\/v2\/media?parent=231807"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/teknomers.com\/en\/wp-json\/wp\/v2\/categories?post=231807"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/teknomers.com\/en\/wp-json\/wp\/v2\/tags?post=231807"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}