- Analysts say that the Nvidia-Intel agreement could remodel AI and PC markets worldwide
- Industry comments focus on the impact for the TSMC, AMD and global chips competition
- The largest technological agreement of the decade debate on Foundry Future and Rivals
The recent announcement that Nvidia would invest $ 5 billion in Intel was a shock for many throughout the technology industry.
The agreement will cause the world’s largest chips company to buy a 4% participation in its long struggle rival, while Intel promised to build personalized CPU X86 for NVIDIA’s infrastructure.
The agreement also includes plans for CHIPS of the X86 system that combine CPU Intel with GPU NVIDIA, hinting the possibility of Future Data Center X86 Apus.
The surprise announcement had an immediate impact on the markets. The Nvidia value increased by around $ 150 billion in the news, more than Intel’s complete capitalization. On paper, that amounted to a yield thirty times in its investment of $ 5 billion in less than 24 hours. Intel Shares also shot up, marking his best day since 1987.
For Nvidia, the investment provides capital in an opponent while ensuring a road map to new kinds of products. For Intel, it provides capital capital and a vote of confidence very necessary in its ability to play a role in the AI era.
But what did the reporters and technological analysts of the news?
Analysts discuss what it means
In your report, The registration He framed the movement as opening a new front for Nvidia, with Tobias Mann writing: “For Nvidia, the agreement presents an opportunity to extend its GPU empire to the integrated Arena Graphics, a space historically dominated by Intel and AMD.”
When describing NVLink as key, Mann said that by integrating interconnection technology into his CPU designs, “NVIDIA will be able to offer NVL72 style systems based on its interior CPUs and Intel Xeons, while addressing most of the graphics pc sand.”
HousePatrick Kennedy touched the angle of the data center, informing that the companies “say that Intel will build CPU NVIDIA-Custom X86 that NVIDIA will integrate into its infrastructure platforms of AI and offer the market ‘. That is certainly positive net for Intel and probably a net negative for AMD.
On PC, Kennedy reported: “Intel will be built and offered to the X86 system chips that make up chiplets of GPU Nvidia RTX.” The registration He warned that such progress “could mean bad news for the Division of Internal Graphics of Intel,” given the limited traction of ARC.
Intel Foundry questions sit along with product plans.
Write to Yahoo FinanceLaura Bratton argued: “The investment recently does to solve what could be said that it is the biggest problem of Intel: how to solve its manufacturing business of sick contract chips,” citing losses and a long way to the generation of cash.
CNBC He redonyled Citi’s skepticism that the integration of Nvidia graphics will make Intel CPU more competitive against AMD, citing the analyst Christopher Danely: “We doubt that this makes Intel CPUs more competitive, since the integration of the graphics of another company would not make a CPU more competitive since the processor PC performance “.
PakGazette“Stephen Nellis pointed out a possible indirect manufacturing impulse, writing that the association” could put the next generation generation manufacturing technology of the next generation chips in a stronger base “, including confidence for the 14A process if the joint products create volume.
He added that engineers will collaborate to “convert Nvidia technology into a physical chip made in Intel.”
The analyst Jack Gold said: “It must be declared that although this agreement is very beneficial for both parties, there are some losers. In particular, the AMD can be at a disadvantage as a result of this association, although they are fine with their own efforts of AI in GPU and CPU. Even so, to have two important competitors that combine their efforts is not exactly a positive result for the AMD.”
Gold also suggested that the agreement could eventually be extended to Intel’s manufacturing: “Any relationship with Nvidia at this point, although not explicitly speaking of foundry services should be seen as a possible extension of the association in the future, and if it happens, it would be a great victory for Intel’s Foundry services.”
Mobile World Live He informed that during the telephone conference that followed the announcement, both Nvidia and Intel’s CEO faced numerous questions about Nvidia using Intel’s Foundry technology.
The CEO of Nvidia, Jensen Huang, played things, saying: “I think we would both say that TSMC is a world class cast iron. I simply cannot exaggerate the magic that is TSMC.”
The economist He attributed collaboration with the broader strategy of Nvidia and with the role of Nvlink, writing: “This helps reinforce Nvidia’s position as a partner of choice in the world of AI.”
The news site also summoned the analysts of Futurum Group, who said: “The economy of AI will run in systems where Nvlink is the standard, and Nvidia decides who turns on.”
Eenews analogueNick Flaherty sounded a precautionary note for Intel, which suggests that the announcement “paves the way for Nvidia to buy the design business of the Intel chip manufacturer.”
He linked the capital participation of $ 5 billion with “a key negotiation position in any future negotiation”, while acknowledging that the process options remain open and that both companies indicated future products ads instead of foundry commitments.
