Intel’s CEO Confronts Nvidia in the Quest for AI Chip Dominance


With its new, more energy-efficient Xeon 6 data center processors, which Intel demonstrated, operators will be able to reduce the amount of space needed for a particular task. Similar to competitors like Advanced Micro Devices Inc. and Qualcomm Inc., Intel presented benchmarks demonstrating the superiority of its latest silicon over its previous offerings. During their previous Computex keynotes, the CEOs of AMD and Qualcomm demonstrated how far ahead Intel is in specific technological areas by using the company’s laptop and desktop processors.

In response to Nvidia CEO Jensen Huang’s assertion that conventional CPUs, such as Intel’s, are becoming obsolete in the era of Artificial Intelligence. Gelsinger said partners including Inventec Corp. and Dell Technologies Inc. will sell Intel’s Gaudi systems, which combine its chips into packages of several processors designed to manage generative AI training. For $65,000, a set with eight Intel Gaudi 2 accelerators will be available. According to the corporation, both the more powerful set of eight Intel Gaudi 3 accelerators and their $125,000 asking price are more reasonable than those of competitors.

Based in Santa Clara, Intel has been at the top of the computer business, but over the past two years, it has lagged behind competitors in terms of sales. Re-joined three years ago to turn the company’s fortunes around, Gelsinger has invested extensively in expanding its factory network and revitalizing its services, which he claims will help the company regain its position as a leader in chip design and manufacture.

Forecasts suggest that AMD’s sales growth will exceed 10%, while Nvidia’s is anticipated to double as both companies better position themselves to benefit from the spike in expenditure on Artificial Intelligence (AI) technologies.

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