Intel Corporation and Nvidia have announced a collaboration to jointly develop custom data center and PC products, with Nvidia investing $5 billion in Intel common stock. The collaboration aims to seamlessly connect Nvidia and Intel architectures using Nvidia NVLink, integrating Nvidia’s AI and accelerated computing with Intel’s leading CPU technologies to deliver cutting-edge solutions.
For data centers, Intel will build Nvidia-custom x86 CPUs that will be integrated into Nvidia’s AI infrastructure platforms and offered to the market. For personal computing, Intel will build and offer x86 system-on-chips (SoCs) that integrate Nvidia RTX GPU chiplets to power a wide range of PCs.
The investment by Nvidia in Intel’s common stock is subject to customary closing conditions, including required regulatory approvals, and represents a significant commitment to the collaboration.
The collaboration has been hailed as a historic one, with Nvidia's founder and CEO, Jensen Huang, stating that "this historic collaboration tightly couples Nvidia’s AI and accelerated computing stack with Intel’s CPUs and the vast x86 ecosystem — a fusion of two world-class platforms."
Intel's CEO, Lip-Bu Tan, expressed appreciation for the confidence Nvidia has placed in them with their investment and emphasized the potential for new breakthroughs for the industry through the combined capabilities of both companies.
The collaboration is a major development in the tech industry and is expected to have a significant impact on the future of computing, particularly in the areas of AI and accelerated computing. Following these announcements, the company's shares moved -3.19%, and are now trading at a price of $29.595. For the full picture, make sure to review INTEL CORP's 8-K report.
