IMPORTANT POINTS:
- Intel announced Gaudi3, an AI chip to compete with Nvidia and AMD, aimed at generative AI software.
- Intel’s Core Ultra chip, designed for Windows laptops and PCs, focuses on smaller AI tasks and offers better power efficiency.
- Intel’s new Xeon processors are aimed at servers and are efficient for inferencing in AI applications.
Intel on Thursday unveiled new computer chips, including Gaudi3, an artificial intelligence chip for generative AI software. Gaudi3 will be launched next year and will compete with rival chips from Nvidia and AMD, which power large, energy-intensive AI models.
Top AI models, like OpenAI’s ChatGPT, run on Nvidia GPUs in the cloud. It’s one of the reasons why Nvidia shares are up nearly 230% so far this year, while Intel’s are up 68% . And that’s why companies like AMD and, now Intel, have announced chips they hope to lure AI companies away from Nvidia’s dominant position in the market.
Intel shares rose 1% on Thursday.
Competition in the AI chip market
Though the company didn’t provide many details, Gaudi3 will compete with Nvidia’s H100, the top choice among companies building huge computer farms. these chips to power AI applications, and with AMD’s upcoming MI300X, when it begins shipping to customers in 2024.
Intel has been building Gaudi chips since 2019, when it bought a chip developer called Habana Labs.
“We are seeing the excitement with generative AI, the star of the show for 2023”, Intel CEO Pat Gelsinger said at a launch event in New York where announced Gaudi3 along with other chips focused on AI applications.
“We believe the AI PC will be the star of the show for next year”
Intel Core Ultra and new Xeon chips
Intel also announced Core Ultra chips, designed for Windows laptops and PCs, and new fifth-generation Xeon chips for servers. Both include a specialized part of AI called NPU that can be used torun AI programs more quicklye.
It’s the latest sign that traditional processor makers, including Intel’s rivals AMD and Qualcomm, are and alerting investors to the possibility that AI models will lead to growing demand for its chips. reorienting its product lines around AI
The Core Ultra won’t provide the same kind of power to run a chatbot like ChatGPT without an internet connection, but it can handle smaller tasks. For example, Intel said that Zoom runs its background blurring feature on its chips. They are built using the company’s 7-nanometer process, which is more energy-efficient than previous chips.
Intel’s strategy and future in the AI market
But importantly, the 7-nanometer chips show that Gelsinger’s strategy to catch up with Taiwan Semiconductor Manufacturing Co. in terms of chipmaking skills by 2026 has not been left behind.
Core Ultra chips also include more powerful gaming capabilities and the most graphics power can help programs like Adobe Premier run smoother 40% faster. The line launched on laptops that hit stores Thursday.
Finally, Intel’s fifth-generation Xeon processors power servers are deployed by large organizations such as cloud companies. Intel didn’t share pricing, but the previous Xeon cost thousands of dollars. Intel’s Xeon processors are typically paired with Nvidia GPUs in systems used to train and deploy generative AI. In some systems, eight GPUs are paired with one or two Xeon CPUs.
Intel said the latest Xeon processor will be particularly good for inferencing, or the process of deploying an AI model, which consumes less energy than the training process.
