Nibble Block Format

A matrix multiplication system and method are provided. The system includes a memory that stores one or more weight tensors, a processor and a matrix multiply accelerator (MMA). The processor converts each weight tensor into an encoded block set that is stored in the memory. Each encoded block set includes a number of encoded blocks, and each encoded block includes a data field and an index field. The MMA converts each encoded block set into a reconstructed weight tensor, and convolves each reconstructed weight tensor and an input data tensor to generate an output data matrix.