AMD Reaches Deal With Alibaba to Use Chips in Cloud Service

  • Graphics semiconductors expanding into uses beyond video games
  • U.S. chipmaker has struggled to regain orders for data centers
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Advanced Micro Devices Inc., struggling to re-establish its data center chip business, said Alibaba Group Holding Ltd. plans to provide cloud-computing services based on its graphics semiconductors.

China’s largest e-commerce company is working on expanding the range of services it offers over the internet and will work with Advanced Micro Devices to use the chipmaker’s Radeon Pro graphics, the companies said Friday in a statement.