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On the basis of brain: neural-network-inspired changes in general-purpose chips

Author

Listed:
  • Ekaterina Prytkova

    (University of Sussex)

  • Simone Vannuccini

    (University of Sussex)

Abstract

In this paper, we disentangle the changes that the rise of artificial intelligence (AI) technologies is inducing in the semiconductor industry. Chips based on the von Neumann architecture are struggling to deliver performance across a wide range of applications, and the new AI segment is only adding to this struggle. This poses a new challenge to chip design, with flexibility of computation at its core, i.e., hardware's ability to support a large software variety, rather than computation speed. We identify and analyze forces and mechanisms at work and discuss the product configurations which could characterize the future of the semiconductor industry. We outline two possible scenarios: (i) fragmentation of the semiconductor industry into submarkets with dedicated chips and (ii) the shift of the industry to a system-on-a-chip-based dominant design with the emergence of a new platform chip. We rationalize the unfolding situation by modeling consumer choice between computing systems based on their crucial characteristics—speed, flexibility, and energy efficiency.

Suggested Citation

  • Ekaterina Prytkova & Simone Vannuccini, 2022. "On the basis of brain: neural-network-inspired changes in general-purpose chips," Post-Print halshs-04012987, HAL.
    • Handle: RePEc:hal:journl:halshs-04012987
    DOI: 10.1093/icc/dtab077
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    Cited by:

    1. Ekaterina Prytkova, 2021. "ICT's Wide Web: a System-Level Analysis of ICT's Industrial Diffusion with Algorithmic Links," Jena Economics Research Papers 2021-005, Friedrich-Schiller-University Jena.
    2. Lijuan Yang, 2023. "Recommendations for metaverse governance based on technical standards," Humanities and Social Sciences Communications, Palgrave Macmillan, vol. 10(1), pages 1-10, December.
    3. Mauro Lombardi & Simone Vannuccini, 2021. "A paradigm shift for decision-making in an era of deep and extended changes," SPRU Working Paper Series 2021-05, SPRU - Science Policy Research Unit, University of Sussex Business School.
    4. Simone Vannuccini & Ekaterina Prytkova, 2021. "Artificial Intelligence’s New Clothes? From General Purpose Technology to Large Technical System," SPRU Working Paper Series 2021-02, SPRU - Science Policy Research Unit, University of Sussex Business School.

    More about this item

    JEL classification:

    • L63 - Industrial Organization - - Industry Studies: Manufacturing - - - Microelectronics; Computers; Communications Equipment
    • O31 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Innovation and Invention: Processes and Incentives
    • O33 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Technological Change: Choices and Consequences; Diffusion Processes

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