Nvidia's Intel investment just gave it the perfect inroad to lucrative new markets
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Nvidia's Intel investment just gave it the perfect inroad to lucrative new markets
"Announced this week, the partnership will see the two rivals collaborate on data center and PC hardware. The immediate aim is to ensure Intel's data center architecture - in particular its x86 ecosystem - can connect to Nvidia's via its proprietary NVLink technology. In time this will yield Intel-built, custom CPUs for Nvidia that will connect its market-leading GPUs within data centers."
""Intel's x86 architecture has been foundational to modern computing for decades - and we are innovating across our portfolio to enable the workloads of the future," said Lip-Bu Tan, CEO of Intel. "Intel's leading data center and client computing platforms, combined with our process technology, manufacturing and advanced packaging capabilities, will complement Nvidia's AI and accelerated computing leadership to enable new breakthroughs for the industry," he added. "We appreciate the confidence Jensen and the Nvidia team have placed in us with their investment and look forward to the work ahead as we innovate for customers and grow our business.""
Nvidia is investing $5 billion in Intel to form a hardware partnership targeting data centers and consumer PCs. The collaboration aims to connect Intel's x86 data-center architecture to Nvidia's systems using proprietary NVLink, enabling Intel-built custom CPUs that interface with Nvidia GPUs in data centers. The partners will also develop x86 system-on-chips to complement Nvidia's RTX graphics cards for gaming and graphics-intensive applications. Intel positions its x86 architecture as foundational and highlights its process, manufacturing, and packaging capabilities as complementary to Nvidia's AI and accelerated computing strengths. Intel recently faced steep share declines, workforce cuts, and reported a net loss in Q2.
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