Intel Dives Into GPU Market, Challenging Nvidia’s Dominance!

In its pursuit of revitalization, Intel’s CEO has committed to the production of a new category of chips, inspired by the success of its competitor, Nvidia.

During the Cisco AI Summit on Tuesday, Intel CEO Lip-Bu Tan announced the company’s plans to manufacture graphics processing units (GPUs). Unlike the general-purpose CPUs that Intel has traditionally produced, GPUs are specialized processors used primarily for gaming and training artificial intelligence models.

TechCrunch has reached out to Intel for further details on this initiative.

The project will be led by Kevork Kechichian, who serves as the executive vice president and general manager of Intel’s data center group. According to reports from Reuters, Kechichian joined Intel in September as part of a series of strategic engineering hires.

Additionally, Intel appointed Eric Demers to contribute to this effort in January. Demers previously spent over 13 years at Qualcomm, with his most recent position being senior vice president of engineering.

Currently, this initiative appears to be in its nascent stages, as Tan noted that Intel intends to shape its strategy based on customer needs and market demands.

Although Nvidia did not invent the GPU, this particular type of chip has significantly contributed to the company’s success. Nvidia’s advanced GPUs for AI systems have secured it a substantial market lead.

This expansion into GPU production is particularly noteworthy, especially considering Tan’s earlier statement that the company would focus on consolidating and refining its core business areas following his appointment as CEO last March. While GPUs remain a subset of semiconductors, this move represents a significant strategic development for Intel.