As Intel works to pivot its business, CEO Lip-Bu Tan announced that the company will begin producing a new type of chip that’s gained significant traction thanks to competitor Nvidia.
During the Cisco AI Summit on Tuesday, Tan revealed that Intel is venturing into the world of graphics processing units (GPUs). These chips are more specialized than the central processing units (CPUs) that Intel is known for and are crucial for gaming and training artificial intelligence models.
TechCrunch reached out to Intel for further details on this development.
The project will be led by Kevork Kechichian, who is the executive vice president and general manager of Intel’s data center group, according to a report by Reuters. Kechichian joined Intel in September as part of a wave of new engineers brought on board.
In January, Intel also brought Eric Demers into the fold. He previously spent over 13 years at Qualcomm, where he most recently served as a senior vice president of engineering.
This initiative appears to be in the early stages, as Tan mentioned that the company plans to craft its strategy based on customer needs and demands.
While Nvidia didn’t create the GPU, its success can be tied closely to this specific chip type. The company’s GPUs for AI applications are so sophisticated and popular that it currently dominates the market.
It’s noteworthy that Intel is branching out into this space now, especially since Tan indicated last March that the company would focus on consolidating and strengthening its core businesses. While GPUs are still semiconductors, this represents a significant new direction for Intel.
