"Struggling chip maker Intel received a significant lifeline on Thursday from longtime rival Nvidia. The AI chip giant it would make a $5 billion investment in Intel and partner to develop chips based on Intel's x86 microprocessor standard. The move is seen as a way for Nvidia to broaden its lead with artificial intelligence by reaching more enterprises that rely on x86 technology to run their IT systems. Also: Deploying agentic AI? You'll probably do business with these 3 companies Intel stock had been up 24% this year through Wednesday's close, but the announcement drove its shares up by another 23% in Thursday afternoon trading. During a conference call Thursday afternoon to discuss the deal, Nvidia CEO Jensen Huang said Nvidia plans to be a "major customer" for Intel's Xeon line of server CPUs."
""I think it's safe to say that the partnership that we're entering into is going to address some $25-50 billion of annual opportunity," said Huang. To date, Nvidia has built its own microprocessors, the Grace CPU, on technology licensed from ARM Holdings, which develops intellectual property used by just about every chip maker in the world."
"Most of the world's computing can be divided neatly into devices that run some kind of ARM CPU "core," such as Nvidia's Grace chip or Apple's "A-series" silicon for the iPhone, and devices built around Intel's x86, including PCs and servers from equipment makers who buy Intel and AMD chips. Did Nvidia sour on ARM? Some chip-industry observers suggest that Nvidia has soured on the relationship with ARM because ARM, majority-owned by Japanese conglomerate SoftBank Group, has indicated it intends to build its own A"
Intel received a $5 billion investment from Nvidia and will partner to develop chips based on Intel's x86 microprocessor standard. Nvidia aims to broaden its artificial intelligence lead by reaching enterprises that rely on x86 technology to run IT systems. Intel stock rose substantially after the deal, including a 23% jump in Thursday afternoon trading. Nvidia plans to be a major customer for Intel's Xeon server CPUs. The partnership is projected to address roughly $25–50 billion of annual opportunity. Nvidia previously built the Grace CPU using ARM-licensed technology, and some observers note tension with ARM as it considers its own designs.
Read at ZDNET
Unable to calculate read time
Collection
[
|
...
]