Facing new challenges from US sanctions,Moore Thread decide to make some organizational adjustment
GPU company Moore Thread launches personnel optimization and establishes two new strategic departments
According to news on November 6, Jiemian News exclusively learned that Moore Thread, a domestic GPU startup, issued an all-staff letter announcing the launch of personnel optimization, which is expected to be completed within this week.
"This is a necessary option for the company's sustainable development, but it is also a difficult decision. I hope everyone can understand it." Moore Thread founder and CEO Zhang Jianzhong said in the letter.
He also mentioned that due to the "1017 incident", the entire domestic GPU and AI chip industry has been hit hard. On October 17, the Bureau of Industrial Security (BIS) under the U.S. Department of Commerce issued "New Chip Control Regulations" to tighten export controls on AI chips and added 13 Chinese companies including Moore Thread, Biren Technology and their subsidiaries to the "Entity List" ". At that time, Moore Thread issued a statement stating that the company strictly abides by the laws and regulations of relevant countries and regions and expressed strong protest against this.
"At this point in time when challenges and opportunities coexist, what I want to say is that there is no 'darkest moment' for Chinese GPUs, only stars and a sea of stars." Zhang Jianzhong emphasized.
To this end, Moore Thread will adjust its organizational structure and establish two strategic departments, AISG (AI Strategy Group) and MCSG (Metaverse Computing Strategy Group), to integrate company resources and promote the implementation of product technology. In terms of personnel performance, Zhang Jianzhong said that the company will conduct a routine job optimization to achieve better job matching and job salary matching efficiency, and focus more on GPU core research and development, which is expected to be completed within this week.
People close to Moore Thread told Jiemian News that the company has been developing rapidly for three years and currently has nearly a thousand employees. This personnel optimization is the result of normal performance appraisal because the company needs to focus on strategy.
Moore Threads was established in October 2020, and its team members mainly come from Nvidia, AMD, Arm, etc. In November 2021, Moore Thread announced the completion of Series A financing of RMB 2 billion, jointly led by Shanghai Guosheng Capital, Wuyuan Capital, Bohai Zhongsheng Fund under Bank of China International, CCB International, Qianhai Fund of Funds, China Merchants Securities and Hubei Nine institutions including the High-Quality Development Industry Fund jointly participated in the investment. In December 2022, Moore Thread announced the completion of 1.5 billion Series B financing, led by China Mobile Digital New Economy Industry Fund and Harmony Health Insurance, with follow-up investments from Dianshi Capital and others.
During the same period when GPU start-ups were focusing on the AI computing track, Moore Thread claimed to be building a "full-featured GPU" and launched consumer-grade products to directly compete with major international manufacturers. In the three years since its establishment, Moore Thread has released a number of products, including consumer-grade graphics cards MTT S80 and MTT S70, which are mainly used for entertainment and creation. They are one of the few domestic graphics card products available in the consumer market. In addition, Moore Thread also launches corresponding GPU products for digital office and professional purposes, mainly for the commercial market. According to Jiemian News, Moore Thread will continue to iterate on GPU products in the future. In addition to GPUs, Moore Threads is also trying to build an ecosystem and make certain efforts in software driver adaptation and software toolkit development.
GPU has been one of the most “profit-attracting” tracks in the domestic chip industry in recent years, and many domestic GPU startups have emerged in the past few years. About 60% of the area of Nvidia's traditional GPU (graphics processing unit) is used for general computing and 30% is used for graphics rendering. The emerging GPGPU generally removes the graphics rendering part and replaces it with a computing unit to focus on artificial intelligence applications. With the popularity of generative artificial intelligence, the demand for AI computing using GPUs as the source of computing power has skyrocketed, and the market is eager for companies that can challenge Nvidia's monopoly to emerge.
Zhang Jianzhong previously said in an interview with Jiemian News that the company's GPU products not only meet the needs of localization, but also hope to adapt to the international ecological environment. He said that Moore Thread allocates 70% of its resources to software development, with the application side paying more attention to the scenario of combining the Metaverse and AI.