Intel’s CEO, Pat Gelsinger, is determined to help Intel fight hard for its survival in the AI-dominated era. Even though the chip company’s few missteps resulted in losing several valuable investors. In its present office in Chandler, Arizona, outside Phoenix, Intel is investing nearly $30 billion to build two state-of-the-art semiconductor plants.
It will be its newest 18-A-chip making process, ready to propel the almost dead company to rise again. The business goal is to compete with the world’s leading contract chip makers, such as the Taiwan Semiconductor Manufacturing Co.
Experts cite two main reasons for Intel’s fall: it was so preoccupied with creating chips for PCs and data centers that it almost forgot to embrace smartphone technology. Also, the company couldn’t forecast the quick rise of advanced chips for artificial intelligence across all devices and industries. Intel also made the mistake in its core business for central processing units (CPUs), that it delayed production, letting its competitors like AMD get ahead of them.
In the meantime, the tech wave was quickly progressing towards graphic chips to dominate the market for AI. Instead, Intel thought AI would be run on systems that still had the traditional CPUs. There was a chance for Intel to learn from Nvidia, which took a video gaming chip, the graphics processing unit (or GPU), and transformed it into its own AI model. Due to this strategy, Nvidia is now worth more than $3 trillion.
As Intel struggles to regain its position in the chip maker industry, it will need to convince big investors to earn back its loyalty with a unique, innovative model.
Thanks for choosing to leave a comment. Please keep in mind that all comments are moderated according to our comment Policy.