Chipmaker Intel on Thursday introduced new processors optimized for artificial intelligence applications in data centers and on personal computers. Intel stock rose on the news.
Intel's new processors will compete with semiconductor products from Advanced Micro Devices and Nvidia.
At its "AI Everywhere" event in New York City, Intel executives unveiled the company's 5th Gen Intel Xeon processors for data centers. The new Xeon processors have AI acceleration built into each core.
Intel also showed for the first time an Intel Gaudi 3 AI accelerator, arriving on schedule next year.
Plus, the tech giant introduced the Intel Core Ultra mobile processors, its first PC chips with AI acceleration.
Ushering In Age Of AI PC
"AI innovation is poised to raise the digital economy's impact up to as much as one-third of global gross domestic product," Chief Executive Pat Gelsinger said. "Intel is developing the technologies and solutions that empower customers to seamlessly integrate and effectively run AI in all their applications — in the cloud and, increasingly, locally at the PC and edge, where data is generated and used."
On the stock market today, Intel stock rose 1.4% to 45.18. Earlier in the session, Intel stock notched an 18-month high of 47.07.
The Intel Core Ultra processors will usher in "the age of the AI PC," Gelsinger said. They feature a built-in "neural processing unit" to enable power-efficient AI acceleration.
The chips are made with a 7-nanometer process technology. The industry measures circuit widths on chips in nanometers, which are one-billionth of a meter.
Intel Core Ultra-based AI PCs are available now from select U.S. retailers for the holiday season. More Intel-based AI PCs will roll out next year, the company said.
Intel predicts that AI PCs will make up 80% of PC sales by 2028.
Intel Stock Has Middling Composite Rating
At the event, Intel promoted the performance and efficiency benefits of its 5th Gen Intel Xeon processor family. It said the new server chips deliver 21% average performance gain for general compute performance compared with the previous generation of Xeon. They also enable 36% higher average performance per watt across a range of customer workloads, Intel said.
Early customers for 5th Gen Intel Xeon processors include Alphabet's Google Cloud and IBM.
Intel ranks 10th out of 32 stocks in IBD's semiconductor manufacturing industry group, according to IBD Stock Checkup. But Intel stock has a middling IBD Composite Rating of 59 out of 99.
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