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Startup Groq has successfully raised $640 million, achieving a valuation of $2.8 billion, with Blackstone Group as the lead investor. This move signals a potential shift in the AI hardware market landscape. Groq focuses on developing specialized chips to accelerate AI workloads, particularly in the language processing domain, with its flagship product, the Language Processing Unit (LPU), capable of running large language models with unprecedented speed and efficiency. As AI demand surges, Groq aims to become a strong competitor in the market, focusing on inference to provide more efficient and cost-effective AI hardware solutions.

Groq has launched the new AI processor LPU, which has excellent performance but requires improvements in cost and energy consumption. The LPU is a processor specifically designed for language processing, challenging the traditional GPU's dominance in language tasks. While the LPU boasts advantages in efficiency and cost-effectiveness, its application range is limited. Groq has provided a detailed introduction and explanation of the design and technology behind the LPU.