NVIDIA buys $ 5 billion in Intel, planning artificial intelligence chip cooperation

NVIDIA has agreed to purchase $ 5 billion in Intel as part of a broader deal to develop “multiple generations” of data and computer products.

NVIDIA will get the Intel share for $ 23.28 per share, which is a simple discount on the company’s previous trading price. according to ReutersNVIDIA will make one of the largest Intel shareholders, and owns about 4 % of the company. Intel shares increased by up to 30 % in early trading on Thursday morning.

Companies will integrate their structures using the NVIDIA’s Nvlink interface, which allows data transfer and control of central processing units and GPU. Nvlink The fastest transfers allow the chips compared to other standards such as PCI Express; This is crucial for artificial intelligence applications, which require many graphics processing units to run together and treat huge work burdens.

For data centers, INTEL will manufacture a new line of CPU X86 specially dedicated to NVIDIA infrastructure, which are presented to institutional customers and opportunities.

For the consumer computer sector, INTEL will build X86 on chips that will include slices of NVIDIA RTX graphics units, which will undoubtedly give Intel on the competing AMD CPU. Companies are naming these chips “X86 RTX SOCS” today and claims that these chips will occupy “a wide range of computers”.

The deal comes after a few years for Intel, which has struggled to take advantage of the artificial intelligence flake race, unlike its new partner. I brought Intel On the new CEOand Displaying thousands of employees Because it sought to support the margins, And manufacturing projects To determine the priorities of more financial discipline.

The deal comes in the wake of Another quarter of a standard for NVIDIAThat has grown in both the most profitable conductors in the world, and at the market rates, one of the largest companies in the world. During the same period, Intel has struggled to keep pace with the fluctuations in the market, especially the requirements of extensive conductors from artificial intelligence. As a result, INTEL cooperation can be allowed to beat the market share of my competitors like AMD.

“The pioneering data platforms in intel and customer computing platforms, along with our operating technology, manufacturing capabilities and advanced packaging capabilities, will be completed from AI in NVIDIA and the accelerating computing leadership to enable new breakthroughs for this industry.”