ZTE to Launch GPU Server that Supports ChatGPT by End of 2023

Xu Ziyang, the Executive Director and CEO of ZTE Corporation – a Chinese technology company specializing in telecommunications – announced on April 6 that ChatGPT represents a significant breakthrough in artificial intelligence technology, and the company plans to launch a GPU server capable of supporting high-bandwidth ChatGPT by the end of this year.

According to Xu, the widespread use and limited capabilities of language models have led to the rapid growth of ChatGPT, surpassing initial expectations. He predicted that this development would initiate a new industrial revolution and drive the evolution of society towards greater intelligence. Additionally, he suggested that it has the potential to transform people’s lifestyles and significantly enhance productivity.

Xu disclosed ZTE’s plan to utilize ChatGPT technology in order to enhance the company’s internal R&D efficiency. The company aimed to achieve at least five points of improvement in a short period of time.

ZTE Corporation will prioritize the development of large models and leverage its advanced digital infrastructure to achieve this goal. Specifically, it aims to assist customers in reducing deployment costs and energy consumption associated with large models. Additionally, it will conduct research on language-based large models to enhance both its own and customers’ R&D efficiency. By year-end, ZTE plans to launch AI servers, high-performance switches, and GPUs that support training for large models.

Xu stated that ZTE Corporation plans to create its own AI acceleration chip in order to decrease the overall inference cost. The company aims to collaborate with partners to integrate large models into important productions.

ZTE Corporation and Baidu had previously announced a joint collaboration where ZTE’s servers would support Baidu‘s Ernie Bot, thereby enhancing the computing power for AI applications. Xie Junshi, Executive Vice President and Chief Operating Officer of ZTE, stated that under the guidance of ChatGPT, a strategy to channel more computing resources from the eastern areas to the less developed western regions, and construction of data centers, are accelerating, which is good news for this year’s server market.

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In recent years, ZTE Corporation has shifted its focus from being a communication equipment provider to an ICT company. It has developed various IT product lines including servers and storage devices. According to the 2022 annual report, the company’s operating revenue increased by 7.4% year-on-year to reach 122.95 billion yuan ($17 billion). Additionally, net profit attributable to shareholders rose by 18.6% year-on-year to reach 8.08 billion yuan in the same period. ZTE experienced rapid growth in its servers, 5G applications, automotive electronics, terminals and digital energy businesses during this time frame as well.