FILE PHOTO: Lisa Su, president and CEO of AMD, gives a keynote address during the 2019 CES in Las Vegas, Nevada, U.S., January 9, 2019. REUTERS/Steve Marcus

(Reuters) – Advanced Micro Devices Inc (AMD.O) on Wednesday released the second generation of its processor chip for data centers and said that it had landed Alphabet Inc’ (GOOGL.O) Google and Twitter Inc (TWTR.N) as customers.

AMD competes against Intel Corp (INTC.O) to supply chips for data centers that power internet-based services. Both firms have come to rely on data center chips for growth because PC sales have stagnated as users shifted to mobile devices.

AMD’s newest generation of server chip, called EPYC, uses a new chip-making technology from its contract manufacturers that helps the chips have better performance while consuming less power.

Intel, which makes chips in its own factories instead of relying on contractors, is behind schedule delivering chips made with its own newer manufacturing process. It plans to release them next year.

AMD has tried to take advantage of that by courting some of Intel’s biggest customers, such as Google.

AMD said on Thursday that Google is using its second-generation EPYC server chip in Google’s internal data centers and that Google will offer it to external developers as part of its cloud computing offerings later this year. It is the first time Google has publicly acknowledged using AMD’s EPYC chips.

Reporting by Stephen Nellis in San Francisco; Editing by Cynthia Osterman

Our Standards:The Thomson Reuters Trust Principles.

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