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Hardware & electrical equipment

Intel fires latest shot in 'chip war' with data centre-designed processors

The 'chip war' ramped up a notch after Intel Corp (NASDAQ:INTC, ETR:INL)unveiled its latest Xeon 6 processors designed for data centres as it sought to catch the leaders in AI technology.

The big reveal happened at the Computex tech conference in Taiwan and follows similar updates by Nvidia and AMD.

According to Intel's CEO Pat Gelsinger, the Xeon 6 chips offer enhanced performance and improved power efficiency compared to their predecessors, making them well-suited for demanding data centre workloads.

However, Intel has been playing catch-up in the AI frenzy, as tech giants Meta, Microsoft, and Google have been aggressively procuring Nvidia's AI chips.

In addition to the Xeon 6 lineup, Intel also revealed that its Gaudi 2 and Gaudi 3 AI accelerators will be priced lower than competing offerings from rivals.

Gelsinger emphasised that customers are seeking high-performance, cost-effective AI solutions with open software and hardware options, and Intel aims to meet this demand.

At the same time, Intel provided architectural details for its upcoming Lunar Lake processors, designed to compete directly with Nvidia's and AMD's AI-focused chips for personal computers.

While Intel has the advantage of designing and manufacturing its own chips, its foundry business has faced challenges, and it has fallen behind competitors like TSMC in chip manufacturing capabilities.

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