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Processing Hardware

1. Why Hardware Matters

AI workloads are fundamentally different from traditional computing. They're dominated by matrix multiplication — billions of multiply-and-accumulate operations — which is why specialised processors exist.

The hardware you choose determines: - What models you can run (a 70B model needs ~40 GB of memory) - How fast they run (tokens per second) - What it costs (cloud GPU vs local inference)


2. Processor Types

At a Glance

Processor Full Name Role Vendor(s) Best For
CPU Central Processing Unit General compute + inference Intel, AMD, Apple, ARM GGUF inference (no GPU), lightweight models
GPU Graphics Processing Unit Training + inference NVIDIA, AMD, Intel Cloud training, batch inference, heavy workloads
TPU Tensor Processing Unit Cloud ML at scale Google Google Cloud AI, large-scale training
LPU Language Processing Unit Ultra-fast LLM inference Groq Real-time chatbots, lowest latency
NPU Neural Processing Unit On-device AI Qualcomm, Intel, Apple, MediaTek Phones, laptops, IoT, edge devices
Apple Silicon M-series SoC (UMA) Local inference Apple MacBook/Mac Studio local AI
ASIC Application-Specific IC Specialised cloud inference AWS (Inferentia/Trainium), Cerebras Cloud inference at scale
Analog AI Analog compute-in-memory Ultra-low power edge Mythic Robotics, defense, extreme edge

CPU — The Universal Fallback

CPUs are not optimal for AI, but they're everywhere and increasingly capable for inference:

  • GGUF models run well on CPU — llama.cpp was designed for CPU-first inference
  • Modern CPUs with AVX-512 or AMX instructions handle matrix ops reasonably well
  • When to use: No GPU available, small models (≤13B), or as a fallback
Vendor AI-Relevant Tech
Intel AMX (Advanced Matrix Extensions), NPU in Core Ultra
AMD AVX-512, XDNA NPU in Ryzen AI
Apple Accelerate framework, built-in ML compute
ARM SVE2, Neoverse for server inference

GPU — The Workhorse

GPUs are the primary hardware for both training and inference. Their massive parallelism (thousands of cores) is ideal for matrix multiplication.

NVIDIA — The Dominant Force

NVIDIA controls ~80%+ of the AI GPU market. Key product lines:

Tier Products VRAM Best For
Consumer RTX 4090, RTX 5090 24 GB Local inference, LoRA fine-tuning
Prosumer RTX 6000 Ada 48 GB Larger models, professional workloads
Data Centre A100, H100, H200, B200 40–192 GB Training, production inference
Next-Gen GB200 (Grace Blackwell) 192 GB HBM3e Frontier training

Key NVIDIA technologies: - CUDA — The programming model everything is built on - Tensor Cores — Dedicated matrix multiplication hardware - NVLink — High-speed GPU-to-GPU interconnect for multi-GPU setups - TensorRT — Optimised inference engine

AMD — The Challenger

Tier Products VRAM Notes
Consumer RX 7900 XTX 24 GB ROCm support improving
Data Centre MI300X 192 GB HBM3 Competitive with H100
Advantage — — Often cheaper per GB of VRAM

Limitation: Software ecosystem (ROCm) is less mature than CUDA. Not all frameworks have first-class AMD support.

Intel Arc

Intel is entering the discrete GPU space with Arc. AI support via oneAPI is emerging but not yet competitive for serious AI workloads.


TPU — Google's Custom Silicon

Google's Tensor Processing Units are cloud-only processors designed specifically for ML workloads.

  • Available exclusively through Google Cloud
  • Optimised for large-scale training and inference
  • Used internally by Google for Gemini, Search, YouTube recommendations
  • TPU v5e and v5p are the current generation
  • Best for: Teams already in the Google Cloud ecosystem

LPU — Groq's Language Processor

Groq's Language Processing Unit takes a radically different approach: deterministic, no-cache architecture optimised specifically for sequential token generation.

  • Record-breaking speed: 500+ tokens/second for Llama 70B
  • Deterministic latency: Every token takes the same time (no variance)
  • Cloud API only: No hardware for purchase — access via Groq Cloud
  • Trade-off: Optimised for inference only (not training), limited batch sizes

NPU — Neural Processing Units

Dedicated low-power AI accelerators built into consumer chips:

Vendor NPU Found In
Qualcomm Hexagon Snapdragon phones, Windows ARM laptops
Intel AI Boost Core Ultra laptops
Apple Neural Engine iPhones, iPads, Macs (16–38 TOPS)
MediaTek APU Android phones
AMD XDNA Ryzen AI laptops

What NPUs do: Handle lightweight AI tasks (voice recognition, photo enhancement, real-time translation) locally without draining the battery.

What NPUs don't do: Run large LLMs. They're designed for small, optimised models (via CoreML, TFLite, QNN formats).


Apple Silicon — The Unified Memory Advantage

Apple's M-series chips deserve special attention because of Unified Memory Architecture (UMA):

Traditional (discrete GPU):          Apple Silicon (UMA):
┌─────────┐    ┌─────────┐          ┌─────────────────────┐
│   CPU   │◄──►│   GPU   │          │  CPU + GPU + NPU    │
│  RAM    │    │  VRAM   │          │  Shared Memory Pool  │
│ (64 GB) │    │ (24 GB) │          │  (up to 512 GB)     │
└─────────┘    └─────────┘          └─────────────────────┘
  Model must fit in VRAM (24 GB)      Model can use ALL memory

Why this matters for AI: - A Mac Studio with 192 GB can run a 70B model in GGUF Q4_K_M entirely in memory - No GPU VRAM bottleneck — the model uses the full unified memory pool - Metal framework provides GPU acceleration for inference

Chip Max Memory Memory Bandwidth Ideal Model Size
M4 32 GB 120 GB/s Up to ~14B Q4
M4 Pro 48 GB 273 GB/s Up to ~30B Q4
M4 Max 128 GB 546 GB/s Up to ~70B Q4
M4 Ultra 512 GB 819 GB/s 70B+ full precision

⚠️ Performance is memory-bandwidth bound, not memory-size bound. An M4 Max with 128 GB will run a 70B model faster than an M4 with 32 GB (even ignoring the size), because bandwidth determines tokens-per-second.


ASIC Inference Chips

Purpose-built chips for cloud inference at scale:

Chip Vendor Best For
Inferentia2 AWS Cost-efficient inference on AWS
Trainium2 AWS Training on AWS
Cerebras WSE-3 Cerebras Wafer-scale, massive single-chip models

These are cloud-only and managed by the vendor — you use them via cloud APIs, not directly.


Analog AI — The Frontier

Mythic's approach: perform matrix multiplication in the analog domain using flash memory cells as resistors.

  • Extreme efficiency: ~10x more power-efficient than digital for inference
  • Trade-off: Lower precision, harder to program
  • Status: Niche — primarily defense and edge robotics applications
  • Why it matters: Points toward a future where AI inference is nearly free at the edge

3. Hardware Decision Flowchart

What are you doing?
│
├── Training a model?
│   └── GPU (NVIDIA H100/B200) or Cloud TPU
│
├── Running inference?
│   ├── Cloud / high throughput?
│   │   ├── Lowest latency? → LPU (Groq)
│   │   ├── NVIDIA ecosystem? → GPU + TensorRT
│   │   └── AWS? → Inferentia2
│   │
│   ├── Local machine?
│   │   ├── macOS? → Apple Silicon (GGUF + Metal)
│   │   ├── Linux/Windows with NVIDIA? → GPU (GGUF + CUDA)
│   │   └── No GPU? → CPU (GGUF via llama.cpp)
│   │
│   └── Edge / IoT?
│       ├── Phone? → NPU (CoreML / TFLite / QNN)
│       └── Ultra-low power? → Analog AI
│
└── Fine-tuning?
    ├── LoRA/QLoRA? → Single GPU (RTX 4090, 24 GB)
    └── Full fine-tune? → Multi-GPU (A100/H100 cluster)