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Generative AI: The Future of Creativity, Powered by IPU and GPU

  • By Gcore
  • September 18, 2023
  • 8 min read
Generative AI: The Future of Creativity, Powered by IPU and GPU

In this article, we explore how Intelligence Processing Units (IPUs) and graphics processing units (GPUs) drive the rapid evolution of generative AI. You’ll learn how generative AI works, how IPU and GPU help in its development, what’s important when choosing AI infrastructure, and you’ll see generative AI projects by Gcore.

What Is Generative AI?

Generative AI, or GenAI, is artificial intelligence that can generate content in response to users’ prompts. The content types generated include text, images, audio, video, and code. The goal is for the generated content to be human-like, suitable for practical use, and to correspond with the prompt as much as possible. GenAI is trained by learning patterns and structures from input data and then utilizing that knowledge to generate new and unique outputs.

Here are a few examples of the GenAI tools with which you may be familiar:

  • ChatGPT is an AI chatbot that can communicate with humans and write high-quality text and code. It has been taught using vast quantities of data available on the internet.
  • DALL-E 2 is an AI image generator that can create images from text descriptions. DALL-E 2 has been trained on a large set of images and text, producing images that look lifelike and attractive.
  • Whisper is a speech-to-text AI system that can identify, translate, and transcribe 57 languages (a number that continues to grow.) It has been trained on 680,000 hours of multilingual data. This is a GenAI example in which accuracy is more important than creativity.

GenAI has potential applications in various fields. According to the 2023 McKinsey survey of different industries, marketing and sales, product and service development, and service operations are the most commonly reported uses of GenAl this year.

Popular Generative AI Tools

The table below shows examples of different Generative AI tools: chatbots, text-to-image generators, text-to-video generators, speech-to-text generators, and text-to-code generators. Some of them are already mature whereas others are still in beta testing (as marked on the table) but look promising.

GenAI typeApplicationsEngines/ModelsAccessDeveloper
ChatbotsChatGPTGPT-3.5, GPT-4Free, paidOpenAI
Bard BetaLaMDAFreeGoogle
Bing ChatGPT-4FreeMicrosoft
Text-to-image generatorsDALL-E 2 BetaGPT-3, CLIPFreeOpenAI
Midjourney BetaLLMPaidMidjourney
Stable DiffusionLDM, CLIPFreeStability AI
Text-to-video generatorsPika Labs BetaUnknownFreePika Labs
Gen-2LDMPaidRunaway
Imagen Video BetaCDM, U-NetN/AGoogle
Speech-to-text generatorsWhisperCustom GPTFreeOpenAI
Google Cloud Speech-to-TextConformer Speech Model technologyPaidGoogle
DeepgramCustom LLMPaidDeepgram
Text-to-code generatorsGitHub CopilotOpenAI CodexPaidGitHub, OpenAI
Amazon CodeWhispererUnknownFree, paidAmazon
ChatGPTGPT-3.5, GPT-4Free, paidOpenAI

These GenAI tools require specialized AI infrastructure, such as servers with IPU and GPU modules, to train and function. We will discuss IPUs and GPUs later. First, let’s understand how GenAI works on a higher level.

How Does Generative AI Work?

A GenAI system learns structures and patterns from a given dataset of similar content, such as massive amounts of text, photos, or music; for example, ChatGPT was trained on 570 GB of data from books, websites, research articles, and other forms of content available on the internet. According to ChatGPT itself, this is the equivalent of approximately 389,120 full-length eBooks in ePub format! Using that knowledge, the GenAI system then creates new and unique results. Here is a simplified illustration of this process:

Figure 1: A simplified process of how GenAI works

Let’s look at two key phases of how GenAI works: training GenAI on real data and generating new data.

Training on Real Data

To learn patterns and structures, GenAI systems utilize different types of machine learning and deep learning techniques, most commonly neural networks. A neural network is an algorithm that mimics the human brain to create a system of interconnected nodes that learn to process information by changing the weights of the connections between them. The most popular neural networks are GANs and VAEs.

Generative adversarial networks (GANs)

Generative adversarial networks (GANs) are a popular type of neural network used for GenAI training. Image generators DALL-E 2 and Midjourney were trained using GANs.

GANs operate by setting two neural networks against one another:

  • The generator produces new data based on the given real data set.
  • The discriminator determines whether the newly generated data is genuine or artificially generated, i.e., fake.

The generator tries to fool the discriminator. The ultimate goal is to generate data that the discriminator can’t distinguish from real data.

Variational autoencoders (VAEs)

Variational autoencoders (VAEs) are another well-known type of neural network used for image, text, music, and other content generation. The image generator Stable Diffusion was trained mostly using VAEs.

VAEs consist of two neural networks:

  • The encoder receives training data, such as a photo, and maps it to a latent space. Latent space is a lower dimensional representation of the data that captures the essential features of the input data.
  • The decoder analyzes the latent space and generates a new data sample, e.g., a photo imitation.

Comparing GANs and VAEs

Here are the basic differences between VAEs and GANs:

  • VAEs are probabilistic models, meaning they can generate new data that is more diverse than GANs.
  • VAEs are easier to train but don’t generally produce as high-quality images as GANs. GANs can be more difficult to work with but produce better photo-realistic images.
  • VAEs work better for signal processing use cases, such as anomaly detection for predictive maintenance or security analytics applications, while GANs are better at generating multimedia.

To get more efficient AI models, developers often train them using combinations of different neural networks.The entire training process can take minutes to months, depending on your goals, dataset, and resources.

Generating New Data

Once a generative AI tool has completed its training, it can generate new data; this stage is called inference. A user enters a prompt to generate the content, such as an image, a video, or a text. The GenAI system produces new data according to the user’s prompt.

For the most relevant results, it is ideal to train generative AI systems with a focus on a particular area. As a crude example, if you want a GenAI system to produce high-quality images of kangaroos, it’s best to train the system on images of kangaroos rather than on all existing animals. That’s why gathering relevant data to train AI models is one of the key challenges. This requires the tight collaboration of subject matter experts and data scientists.

How IPU and GPU Help to Develop Generative AI

There are two primary options when it comes to how you develop a generative AI system. You can utilize a prebuilt AI model and fine-tune it to your needs, or embark on the ambitious journey of training an AI model from the ground up. Regardless of your approach, access to AI infrastructure—IPU and GPU servers—is indispensable. There are two main reasons for this:

  • GPU and IPU architectures are adapted for AI workloads
  • GPU and IPU are available in the Cloud

Adapted Architecture

Intelligence Processing Units (IPUs) and graphics processing units (GPUs) are specialized hardware designed to accelerate the training and inference of AI models, including models for GenAI training. Their main advantage is that each IPU or GPU module has thousands of cores simultaneously processing data. This makes them ideal for parallel computing, essential in AI training.

As a result, GPUs are usually better deep learning accelerators than, for example, CPUs, which are suitable for sequential tasks but not parallel processing. While the server version of the CPU can have a maximum of 128 cores, a processor in the IPU, for example, has 1472 cores.

Here are the basic differences between GPUs and IPUs:

  • GPUs were initially designed for graphics processing, but their efficient parallel computation capabilities also make them well-suited for AI workloads. GPUs are the ideal choice for training and inference ML models. There are several AI-focused GPU hardware vendors on the market, but the clear leader is NVIDIA.
  • IPUs are a newer type of hardware designed specifically for AI workloads. They are even more efficient than GPUs at performing parallel computations. IPUs are ideal for training and deploying the most sophisticated AI applications, like large language models (LLMs.) Graphcore is the developer and sole vendor of IPUs, but there are some providers, like Gcore, that offer Graphcore IPUs in the cloud.

Availability in the Cloud

Typically, even enterprise-level AI developers don’t buy physical IPU/GPU servers because they are extremely expensive, costing up to $270,000. Instead, developers rent virtual and bare metal IPU/GPU instances from cloud providers on a per-minute or per-hour basis. This is also more convenient because AI training is an iterative process. When you need to run the next training iteration, you rent a server or virtual machine and pay only for the time you actually use it. The same applies to deploying a trained GenAI system for user access: You’ll need the parallel processing capabilities of IPUs/GPUs for better inference speed when generating new data, so you have to either buy or rent this infrastructure.

What’s Important When Choosing AI Infrastructure?

When choosing AI infrastructure, you should consider which type of AI accelerator better suits your needs in terms of performance and cost.

GPUs are usually an easier way to train models since there are a lot of prebuilt frameworks adapted for GPUs, including PyTorch, TensorFlow, and PaddlePaddle. NVIDIA also offers CUDA for its GPUs; this is a parallel computing software that works perfectly with programming languages widely used in AI development, like C and C++. As a result, GPUs are more suitable if you don’t have deep knowledge of AI training and fine-tuning, and want to get results faster using prebuilt AI models.

IPUs are better than GPUs for complex AI training tasks because they were designed specifically for that task, not for video rendering, for example, as GPUs were originally designed to do. However, due to its newness, IPUs support fewer prebuilt AI frameworks out-of-the-box than GPUs. When you are trying to perform a novel AI training task and therefore don’t have a prebuilt framework, you need to adapt an AI framework or AI model and even write code from scratch to run it. All of this requires technical expertise. However, Graphcore is actively developing SDKs and instructions to ease the use of their hardware.

Graphcore’s IPUs also support packing, a technique that significantly reduces the time required to pre-train, fine-tune, and infer from LLMs. Below is an example of how IPUs excel GPUs in inference for a language learning model based on the BERT architecture when using packing.

Figure 2: IPU outperforms GPU in inference for a BERT-flavored LLM when using packing

Cost-effectiveness is another important consideration when choosing an AI infrastructure. Look for benchmarks that compare AI accelerators in terms of performance per dollar/euro. This can help you to identify efficient choices by finding the right balance between price and compute power, and could save you a lot of money if you plan a long-term project.

Understanding the potential costs of renting AI infrastructure helps you to plan your budget correctly. Research the prices of cloud providers and calculate how much a specific server with a particular configuration will cost you per minute, hour, day, and so on. For more accurate calculations, you need to know the approximate time you’ll need to spend on training. This requires some mathematical effort, especially if you’re developing a GenAI model from scratch. To estimate the training time, you can count the number of operations needed or look at the GPU time.

Our Generative AI Projects

Gcore’s GenAI projects offer powerful examples of the fine-tuning approach to AI training, using IPU infrastructure.

English to Luxembourgish Translation Service

Gcore’s speech-to-text AI service translates English speech into Luxembourgish text on the go. The tool is based on the Whisper neural network and has been fine-tuned by our AI developers.

Figure 3: The UI of Gcore’s speech-to-text AI service

The project is an example of fine-tuning an existing speech-to-text GenAI model when it doesn’t support a specific language. The base version of Whisper didn’t support Luxembourgish, so our developers had to train the model to help Whisper learn this skill. A GenAI tool with any local or rare language not supported by existing LLMs could be created in the same way.

AI Image Generator

Al Image Generator is a generative AI tool free for all users registered to the Gcore Platform. It takes your text prompts and creates images of different styles. To develop the Image Generator, we used the prebuilt Openjourney GenAI model. We fine-tuned it using datasets for specific areas, such as gaming, to extend its capabilities and generate a wider range of images. Like our speech-to-text service, the Image Generator is powered by Gcore’s AI IPU infrastructure.

Figure 4: Image examples generated by Gcore’s AI Image Generator

The AI Image Generator is an example of how GenAI models like Openjourney can be customized to generate data with the style and context you need. The main problem with a pretrained model is that it is typically trained on large datasets and may lack accuracy when you need more specific results, like a highly specific stylization. If the prebuilt model doesn’t produce content that matches your expectations, you can collect a more relevant dataset and train your model to get more accurate results, which is what we did at Gcore. This approach can save significant time and resources, as it doesn’t require training the model from scratch.

Future Gcore AI Projects

Here’s what’s in the works for Gcore AI:

  • Custom AI model tuning will help to develop AI models for different purposes and projects. A customer can provide their dataset to train a model for their specific goal. For example, you’ll be able to generate graphics and illustrations according to the company’s guidelines, which can reduce the burden on designers.
  • AI models marketplace will provide ready-made AI models and frameworks in Gcore Cloud, similar to how our Cloud App Marketplace provides prebuilt cloud applications. Customers will be able to deploy these AI models on Virtual Instances or Bare Metal servers with GPU and IPU modules and either use these models as they are or fine-tune them for specific use cases.

Conclusion

IPUs and GPUs are fundamental to parallel processing, neural network training, and inference. This makes such infrastructure essential for generative AI development. However, GenAI developers need to have a clear understanding of their training goals. This will allow them to utilize the AI infrastructure properly, achieving maximum efficiency and best use of resources.

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Good news for businesses operating in Southern Europe! Our newest cloud region in Sines, Portugal, gives you faster, more local access to the infrastructure you need to run advanced AI, ML, and HPC workloads across the Iberian Peninsula and wider region. Sines-2 marks the first region launched in partnership with Northern Data Group, signaling a new chapter in delivering powerful, workload-optimized infrastructure across Europe.Strategically positioned in Portugal, Sines-2 enhances coverage in Southern Europe, providing a lower-latency option for customers operating in or targeting this region. With the explosive growth of AI, machine learning, and compute-intensive workloads, this new region is designed to meet escalating demand with cutting-edge GPU and storage capabilities.Built for AI, designed to scaleSines-2 brings with it next-generation infrastructure features, purpose-built for today’s most demanding workloads:NVIDIA H100 GPUs: Unlock the full potential of AI/ML training, high-performance computing (HPC), and rendering workloads with access to H100 GPUs.VAST NFS (file sharing protocol) support: Benefit from scalable, high-throughput file storage ideal for data-intensive operations, research, and real-time AI workflows.IaaS portfolio: Deploy Virtual Machines, manage storage, and scale infrastructure with the same consistency and reliability as in our flagship regions.Organizations operating in Portugal, Spain, and nearby regions can now deploy workloads closer to end users, improving application performance. For finance, healthcare, public sector, and other organisations running sensitive workloads that must stay within a country or region, Sines-2 is an easy way to access state-of-the-art GPUs with simplified compliance. Whether you're building AI models, running simulations, or managing rendering pipelines, Sines-2 offers the performance and proximity you need.And best of all, servers are available and ready to deploy today.Run your AI workloads in Portugal todayWith Sines-2 and our partnership with Northern Data Group, we’re making it easier than ever for you to run AI workloads at scale. If you need speed, flexibility, and global reach, we’re ready to power your next AI breakthrough.Unlock the power of Sines-2 today

How AI is transforming gaming experiences

AI is reshaping how games are played, built, and experienced. Although we are in a period of flux where the optimal combination of human and artificial intelligence is still being ironed out, the potential for AI to greatly enhance both gameplay and development is clear.PlayStation CEO Hermen Hulst recently emphasized the importance of striking the right balance between the handcrafted human touch and the revolutionary advances that AI brings. AI will not replace the decades of design, storytelling, and craft laid down by humans—it will build on that foundation to unlock entirely new possibilities. In addition to an enhanced playing experience, AI is shaking up gaming aspects such as real-time analytics, player interactions, content generation, and security.In this article, we explore three specific developments that are enriching gaming storyworlds, as well as the technology that’s bringing them to life and what the future might hold.#1 Responsive NPC behavior and smarter opponentsAI is evolving to create more realistic, adaptive, and intelligent non-player characters (NPCs) that can react to individual player choices with greater depth and reasoning. The algorithms allow NPCs to respond dynamically to players’ decisions so they can adjust their strategies and behaviors in real time. This provides a more immersive and dynamic gameplay environment and means gamers have endless opportunities to experience new gaming adventures and write their own story every time.A recent example is Red Dead Redemption 2, which enables players to interact with NPCs in the Wild West. Players were impressed by its complexity and the ability to interact with fellow cowboys and bar patrons. Although this is limited for now, eventually, it could become like a video game version of the TV series Westworld, in which visitors pay to interact with incredibly lifelike robots in a Wild West theme park.AI also gives in-game opponents more “agency,” making them more reactive and challenging for players to defeat. This means smarter, more unpredictable enemies who provide a heightened level of achievement, novelty, and excitement for players.For example, AI Limit, released in early 2025, is an action RPG incorporating AI-driven combat mechanics. While drawing comparisons to Soulslike games, the developers emphasize its unique features, including the Sync Rate system, which adds depth to combat interactions.#2 AI-assisted matchmaking and player behavior predictionsAI-powered analytics can identify and predict player skill levels and playing styles, leading to more balanced and competitive matchmaking. A notable example is the implementation of advanced matchmaking systems in competitive games such as Apex Legends and Call of Duty: Modern Warfare III. These titles use AI algorithms to analyze not just skill levels but also playstyle preferences, weapon selections, and playing patterns to create matches optimized for player retention and satisfaction. The systems continuously learn from match outcomes to predict player behavior and create more balanced team compositions across different skill levels.By analyzing a player’s past performance, AI can also create smarter team formations. This makes for fairer and more rewarding multiplayer games, as players are matched with others who complement their skill and strategy.AI can monitor in-game interactions to detect and mitigate toxic behavior. This helps encourage positive social dynamics and foster a more collaborative and friendly online environment.#3 Personalized gaming experiencesMultiplayer games can use AI to analyze player behavior in real time, adjusting difficulty levels and suggesting tailored missions, providing rich experiences unique to each player. This creates personalized, player-centric gameplay that evolves dynamically and can change over time as a player’s knowledge and ability improve.Games like Minecraft and Skyrim already use AI to adjust difficulty and offer dynamic content, while Oasis represents a breakthrough as an AI-generated Minecraft-inspired world. The game uses generative AI to predict and render gameplay frames in real time, creating a uniquely responsive environment.Beyond world generation, modern games are also incorporating AI chatbots that give players real-time coaching and personalized skill development tips.How will AI continue to shape gaming?In the future, AI will continue to impact not just the player experience but also the creation of games. We anticipate AI revolutionizing game development in the following areas:Procedural content generation: AI will create vast, dynamic worlds or generate storylines, allowing for more expansive and diverse game worlds than are currently available.Game testing: AI will simulate millions of player interactions to help developers find bugs and improve gameplay.Art and sound design: AI tools will be used to a greater extent than at present to create game art, music, and voiceovers.How Gcore technology is powering AI gaming innovationIn terms of the technology behind the scenes, Gcore Everywhere Inference brings AI models closer to players by deploying them at the edge, significantly reducing latency for training and inference. This powers dynamic features like adaptive NPC behavior, personalized gameplay, and predictive matchmaking without sacrificing performance.Gcore technology differentiates itself with the following features:Supports all major frameworks, including PyTorch, TensorFlow, ONNX, and Hugging Face Transformers, making deploying your preferred model architecture easy.Offers multiple deployment modes, whether in the cloud, on-premise, or across our distributed edge network with 180+ global locations, allowing you to place inference wherever it delivers the best performance for your users.Delivers sub-50ms latency for inference workloads in most regions, even during peak gaming hours, thanks to our ultra-low-latency CDN and proximity to players.Scales horizontally, so studios can support millions of concurrent inferences for dynamic NPC behavior, matchmaking decisions, or in-game voice/chat moderation, without compromising gameplay speed.Keeps your models and training data private through confidential computing and data sovereignty controls, helping you meet compliance requirements across regions including Europe, LATAM, and MENA.With a low-latency infrastructure that supports popular AI frameworks, Gcore Everywhere Inference allows your studio to deploy custom models and deliver more immersive, responsive player experiences at scale. With our confidential computing solutions, you retain full control over your training assets—no data is shared, exposed, or compromised.Deliver next-gen gaming with Gcore AIAI continues to revolutionize industries, and gaming is no exception. The deployment of artificial intelligence can help make games even more exciting for players, as well as enabling developers to work smarter when creating new games.At Gcore, AI is our core and gaming is our foundation. AI is seamlessly integrated into all our solutions with one goal in mind: to help grow your business. As AI continues to evolve rapidly, we're committed to staying at the cutting edge and changing with the future. Contact us today to discover how Everywhere Inference can enhance your gaming offerings.Get a customized consultation about AI gaming deployment

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