Intel AI Chip Battle Intensifies as Tech Company Unveils New Chip

US-based tech company, Intel, announced the launch of a new AI chip last week. In what is appearing as an epic Intel AI chip battle, the company is taking on rivals like Qualcomm, Nvidia, and AMD. According to Yahoo Finance, Intel claims that its technology will lead the AI revolution.

Intel has been dominating the chip market for decades now. The company makes chips. Intel chips power most tech products, like personal computers, laptops, and servers. But, its competitors, including Nvidia, have affected its market share in recent years. Nvidia has taken the lead in manufacturing specialized processors for AI.

Intel AI Chips

Intel introduced its latest chips and server processors during the Computex Expo in Taiwan. The company has developed Xeon 6 processors for servers. It has also developed Lunar Lake chips for AI-powered PCs.

Speaking at the event, Intel CEO, Pat Gelsinger, said, “AI is driving one of the most consequential eras of innovation the industry has ever seen. The magic of silicon is once again enabling exponential advancements in computing that will push the boundaries of human potential and power the global economy for years to come.”

Price Positioning

According to Gelsinger, the latest Intel equipment offers users the best performance. The company positioned its products as affordable and energy-efficient. Intel has also developed Gaudi 3 AI chips. These systems support advanced AI tasks like training models. Intel said that the price of Gaudi systems is at least a third of what competitors offer.

“Customers are looking for high-performance, cost-effective gen AI training and inferencing solutions. And they’ve started to turn to alternatives like Gaudi. They want a choice. They want open software and hardware solutions and time to market solutions at dramatically lower total cost of ownership,” Gelsinger added.

The Intel Chip Tech Battle

The Expo’s keynote speeches provided space for an Intel-Nvidia AI chip battle. Each CEO presented arguments on why their company had the best AI products. Pat Gelsinger gave his keynote after Lisa Sue, Jensen Huang, and Cristiano Amon. They are from AMD, Nvidia, and Qualcomm.

Amon and Su laid out details about their chips. The companies made the chips for AI-enhanced computers. Microsoft, Dell, Samsung, and Lenovo will be using these chips. AI features will be available on the device, not only via the internet. It’s expected that AI computers will constitute 80% of the PC market by 2028.

Gelsinger disputed Qualcomm’s claim that their AI chips outperform Intel’s in personal computers. This claim appeared to be shaping the big Intel new AI chip battle. But these claims prove that Intel is playing catch-up. The company has been on the sidelines for a long time.

Future Plans

AMD and Nvidia outlined their annual plans for new data center chips. On Sunday, Nvidia unveiled its Rubin chips to take over the Blackwell model that it released in March. AMD has released timelines for unveiling new Instinct chip accelerators. They’ll do so every year, until 2026.

But, in the Intel AI chip battle, one aspect differentiates Intel from its competitors. Unlike AMD and Nvidia, the company designs and produces its own chips. AMD unveiled new chips to challenge Intel and Nvidia. Intel positioned its Gaudi 3 AI chips as a cheaper option. But, with Nvidia’s market dominance, winning the AI chip battle remains a challenge.