Archana Vemulapalli, emphasized the fast-paced evolution of AI technologies and the critical need for organizations to rethink their infrastructure and strategic approach.
ADVANCED MICRO DEVICES (AMD), a leading American multinational and fabless semiconductor company, has been making significant inroads into the enterprise sector, thanks to its innovative graphics and high-performance computing solutions, offered at competitive prices.
Headquartered in Santa Clara, California, AMD’s EPYC processors have gained widespread popularity among IT decision-makers, who are looking to address growing compute demands while transitioning their data centers to higher-density, heterogeneous hardware or hybrid environments that blend on-premises infrastructure with cloud solutions.
AMD is also positioning itself as a key player in the rapidly growing AI computing space, with its AI chips offering a compelling balance of value and performance. In a recent interaction with CIO&Leader during the 25th Annual CIO&Leader Conference, Archana Vemulapalli, Corporate Vice President of Global Commercial Sales at AMD, shared her insights on the transformative impact of Artificial Intelligence (AI) on enterprise computing and how organizations can prepare for this new era.
Vemulapalli, with over 23 years of technology leadership experience, previously held management roles at Amazon Web Services (AWS), where she led Product and Global Strategy for data and AI, and was general manager and head of Solutions Architecture for North America. Before AWS, she served as the global chief technology officer for IBM’s Infrastructure Services business, overseeing its global portfolio strategy, software product development, and offerings portfolio.
In a fireside chat with R. Giridhar, Group Editor, CIO&Leader, Vemulapalli emphasized the fast-paced evolution of AI technologies and the critical need for organizations to rethink their infrastructure and strategic approach. She highlighted AI’s role not only in driving productivity but also as a catalyst for significant market growth and new business opportunities. Below are excerpts from the conversation.
CIO&Leader: Given the growing complexity and sophistication of AI models, especially with AMD’s involvement in hardware development, how should organizations approach the challenge of running these advanced models?
Archana Vemulapalli: It’s crucial to reframe how we think about our infrastructure. The AI landscape has evolved incredibly fast; two years ago, we were just beginning to talk about AI and generative AI, and now it’s at the forefront of technological advancement. Organizations need to assess where they consume compute resources today—whether it’s PCs, data centers, or cloud providers—and align that with their ambitions for leveraging AI.
The key is to determine the most optimized compute environment for your specific use cases. Sometimes, a smaller model running on a PC might suffice for certain applications. In other cases, you might need the most TCO-efficient GPUs for training large-scale models. Also, as we all know, inference is where the real scalability challenges lie, and that requires a focus on both GPU and CPU performance.
Latency, networking, memory, and storage are all critical factors as these models evolve. Organizations need to revisit their infrastructure from the ground up, leveraging their experience but also embracing new tools and opportunities for market growth.
CIO&Leader: From a practical perspective, does this mean organizations need to overhaul their entire infrastructure to accommodate AI? What about the impact on operating costs and energy consumption?
Archana Vemulapalli: Opportunity cost should be a primary consideration. While total cost of ownership (TCO) and return on investment (ROI) are important, especially when focusing on productivity, the real question is about capturing new market opportunities. CEOs and boards are more interested in market share growth than incremental productivity gains.
Investing in AI infrastructure is about positioning your organization to seize these growth opportunities. Yes, there will be operating costs and considerations around energy consumption, but these should be weighed against the potential for significant market gains. It’s about reframing the conversation from cost to opportunity. So my two cents is always opportunity first.
It really about how you push it. If you lead with the productivity play, productivity immediately goes to cost savings. I always ask people what productivity and growth means to them. Because the smartest people are looking t leveraging this whole space to accelerate and capture market before anyone else. Eventually we all are going to be consuming it, but the people that move fast will redefine the market share.
CIO&Leader: Do you see a risk in moving too early into AI adoption? Could organizations invest heavily without immediate returns?
Archana Vemulapalli: I believe there’s always going to be risk in any strategic decision, but the pace at which AI technology is evolving means that flexibility is key. Organizations have to redefine their pace as they move with the technology. Rather than making a one-time decision, it’s about continuously evaluating the technology’s capabilities and aligning them with your business needs.
You should view AI as a fast-evolving space and be prepared to adapt. But it also forces us from a standard procurement and a perspective on reframing our strategy. And this is where partners matter. In this journey you want to get a set of partners that you trust, that have credibility, that have a staying power in the market, and that are invested in this. It allows us to move forward together.
Being early allows you to capture market share before the playing field levels out. The risk of inaction or late adoption could be far greater than the risks associated with early investment.
CIO&Leader: As a former CIO, what advice would you give to others on preparing their organizations for the age of AI beyond just the technological aspects?
Archana Vemulapalli: AI is causing disruption across all industries, including within our own technology functions. It changes how software development teams, data analysts, and business analysts work. Organizations need to shift from being highly structured to becoming more flexible, to succeed in this space.
Though it is not easy, as you have set processes and structure and people in place, I recommend the various teams like technology teams, CIO teams, to learn the power of this technology. Encourage your technology teams to learn about AI, take courses, and understand its capabilities. This internal upskilling will make them powerful advocates and innovators within your organization.
Also, build a consortium of trusted partners who share your values and investment strategies. This includes compute providers, consultants, and software vendors who are committed to your success. Lastly, be an advocate with your CEO and board. They’re already discussing AI’s potential, and your expertise can help shape the organization’s strategic direction.
CIO&Leader: What would you rate as the top three challenges that CIOs need to overcome?
Archana Vemulapalli: I’m not a challenge person, but I’ll say here are the opportunities. First, leverage your experience to become a change agent. Your deep understanding of both technology and your organization’s needs positions you uniquely to drive AI adoption. Second, build strong partnerships with entities that align with your values and objectives.
This collaboration will help navigate the rapidly evolving AI landscape. Third, proactively engage with your CEO and board to advocate for AI initiatives. They’re eager to understand how AI can propel the organization forward, and your insights are invaluable. Embrace the opportunity to redefine what’s possible and challenge the status quo. One doesn’t become a CIO or a CTO or a key technical leader of a company without having executed at scale. And so the ability to now take this amazing opportunity and leapfrog what your organization can do is amazing.
And we should just embrace this and we should challenge ourselves. Every time we hear a no, we should challenge ourselves and say, why not?