Nvidia invests $5 billion in Intel stocks, establishing a long-term collaboration for manufacturing hardware in sectors like consumer goods, AI, and data centers; this alliance is dubbed as merging the most superior CPU and GPU technologies.
In a surprising move, tech giants Intel and Nvidia have announced a groundbreaking partnership that aims to revolutionise the industry. The collaboration, described as historic by Nvidia CEO Jensen Huang, will focus on seamlessly connecting NVIDIA and Intel architectures using NVLink.
The partnership comes at a time when AI is powering a new industrial revolution, according to Jensen Huang. He argues that general purpose computing has reached its limits and advocates for accelerated hardware to spark advancements in artificial intelligence.
Under the terms of the partnership, Intel will build and offer x86 SOCs (system-on-chips) that integrate Nvidia GPU chiplets for personal computing. These x86 RTX SOCs will power a wide range of PCs that demand integration of world-class CPUs and GPUs.
In addition, Intel will build NVIDIA-custom x86 CPUs for AI infrastructure platforms. This move will make Nvidia a significant customer of Intel CPUs, as stated by Jensen Huang.
The partnership between the two companies will also extend to consumer products and technology for data centers. Intel has indicated that the partnership is acceptable, despite a recent fall in its stock prices.
Nvidia plans to purchase $5 billion worth of Intel's common stock, subject to regulatory approvals. Jensen Huang calls this investment "incredible" and expresses optimism about the return on the investment.
Intel CEO Lip-Bu Tan has expressed his belief that the partnership will enable new breakthroughs for the industry. He also mentioned that Intel plans to offer Battlefield 6 bundled with its hardware at no extra cost to gamers.
The partnership between Intel and Nvidia is expected to have a significant impact on the tech industry, combining Nvidia's AI and accelerated computing stack with Intel's CPUs and the vast x86 ecosystem. The collaboration is set to span multiple generations of hardware, promising exciting developments in the world of AI and computing.
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