Intel to launch new AI chip next year - report

[Entrance of The Intel Museum in Silicon Valley.]
JHVEPhoto/iStock Editorial via Getty Images

Intel (NASDAQ:INTC [https://seekingalpha.com/symbol/INTC]) announced a new data center AI chip, Crescent Island, set to launch next year as part of its push to re-enter the booming AI hardware market.

The GPU is designed for energy efficiency and AI inference workloads, _Reuters_ reported, quoting Intel CTO Sachin Katti, who spoke at the Open Compute Summit on Tuesday. "It emphasizes that focus that I talked about earlier, inference, optimized for AI, optimized, optimized for delivering the best token economics out there, the best performance per dollar out there," Katti said.

The launch underscores Intel’s (NASDAQ:INTC [https://seekingalpha.com/symbol/INTC]) effort to catch up with rivals Nvidia (NVDA [https://seekingalpha.com/symbol/NVDA]) and AMD (AMD [https://seekingalpha.com/symbol/AMD]), which have dominated the AI chip market. Katti added that Intel plans to release new AI data center chips annually to match competitors’ pace.

He noted Intel’s open, modular approach, allowing customers to mix and match chips from different vendors. The move follows Nvidia’s $5 billion investment in Intel for a 4% stake, part of a partnership to co-develop next-generation PC and data center chips.

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