Intel’s Future in Jeopardy Due to Nvidia Partnership

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Intel Partners with Nvidia

Intel (NASDAQ: INTC) has entered into a partnership with Nvidia to develop custom CPUs incorporating Nvidia’s integrated GPUs for PCs and data centers. This deal raises questions about the future of Intel’s own graphics technology as the company continues to refocus its operations under CEO Lip-Bu Tan, who has already initiated significant layoffs and exited non-core businesses.

As of Q1 2023, Intel’s discrete GPU market share has dropped to 0%, with Nvidia dominating the landscape. The collaboration with Nvidia, which includes a $5 billion investment in Intel, might lead to a reduction in Intel’s investment in its graphics division, impacting its efforts in discrete graphics card development.

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