<ul><li><keyword id="28115" type="General" weightage="100" keywordseo="intel" source="Orion">Intel</keyword> on Wednesday unveiled 4th <keyword id="16029936" type="General" weightage="80" keywordseo="gen-xeon" source="Orion">Gen Xeon</keyword> Scalable processors, Xeon CPU Max Series and the Data Centre GPU Max Series.</li><li>the Xeon CPU Max Series is the first and only x86-based processor with high bandwidth memory, accelerating many <keyword id="300506" type="General" weightage="50" keywordseo="hpc" source="Orion">HPC</keyword> workloads without the need for code changes.</li></ul> New Delhi, Chip-maker Intel on Wednesday unveiled 4th Gen Xeon Scalable processors (code-named Sapphire Rapids) with better performance. The chip maker also unveiled the Xeon CPU Max Series (code-named Sapphire Rapids HBM) and the Data Centre GPU Max Series (code-named Ponte Vecchio). As Intel's most sustainable data centre processors, 4th Gen Xeon processors deliver customers a range of features for managing power and performance, making the optimal use of CPU resources to help achieve their sustainability goals, said the company. The 4th Gen Intel Xeon customers can expect a 2.9x average performance per watt efficiency improvement for targeted workloads when utilising built-in accelerators when compared with prior generations. The company said that the 4th Gen Xeon family greatly expands on Intel's purpose-built, workload-first strategy and approach. It also offers a family of processors specifically optimised for high-performance, low-latency networks and edge workloads. Moreover, the Xeon CPU Max Series is the first and only x86-based processor with high bandwidth memory, accelerating many HPC workloads without the need for code changes. The Data Center GPU Max Series is Intel's highest-density processor and will be available in several form factors that address different customer needs, according to the company. Further, the Xeon CPU Max Series offers 64 gigabytes of high bandwidth memory on the package, significantly increasing data throughput for HPC and AI workloads. When compared to top-tier 3rd Gen Intel Xeon Scalable processors, the Xeon CPU Max Series delivers up to 3.7 times 10 more performance in a variety of real-world applications such as energy and earth system modelling, the company mentioned. SEE ALSO: <a href="https://www.businessinsider.in/tech/news/mercedes-honda-bmw-and-others-showcase-some-exciting-car-tech-at-the-ces-2023-these-are-our-favorites/articleshow/96851293.cms">Mercedes, Honda, BMW and others showcase some exciting car tech at the CES 2023 — these are our favorites</a> <a href="https://www.businessinsider.in/tech/news/for-the-first-time-in-history-an-ai-bot-will-reportedly-defend-a-human-in-court/articleshow/96785418.cms">For the first time in history, an AI bot will reportedly defend a human in court</a>

Intel unveils 4th Gen Xeon Scalable processors with better performance

Chip giant <keyword id="28115" type="CITY" weightage="20" keywordseo="Intel">Intel</keyword> on Thursday unveiled new 3rd Gen <keyword id="1759347" type="ORGANIZATION" weightage="20" keywordseo="Intel-Xeon">Intel Xeon</keyword> Scalable processors and additions to its hardware and <keyword id="9538917" type="UNKNOWN" weightage="20" keywordseo="software-ai-portfolio">software AI portfolio</keyword>. The new chip, memory, storage and FPGA solutions would help customers accelerate the development and use of AI and analytics workloads running in data centre, network and intelligent-edge environments. "We remain committed to enhancing built-in AI acceleration and software optimisations within the processor that powers the world's data center and edge solutions, as well as delivering an unmatched silicon foundation to unleash insight from data," said Lisa Spelman, Intel corporate vice president and general manager, Xeon and Memory Group. The 3rd Gen Intel Xeon Scalable processors and Intel Optane persistent memory 200 series would ship to customers from Thursday. As the industry's first mainstream server processor with built-in bfloat16 support, the new 3rd Gen Xeon Scalable processors makes AI inference and training more widely deployable on general-purpose CPUs for apps that include image classification, recommendation engines, speech recognition and language modeling. Intel said it is extending its investment in built-in AI acceleration in the new 3rd Gen Intel Xeon Scalable processors through the integration of bfloat16 (Brain Floating Point) support into the processor's unique Intel DL Boost technology. Bfloat16 is a compact numeric format that uses half the bits as today's FP32 format but achieves comparable model accuracy with minimal - if any - software changes required. The addition of bfloat16 support accelerates both AI training and inference performance in the CPU, said the company. As part of the 3rd Gen Intel Xeon Scalable platform, the company also announced the Intel Optane persistent memory 200 series, providing customers up to 4.5TB of memory per socket to manage data intensive workloads. For systems that store data in all-flash arrays, Intel announced the availability of its next-generation high-capacity Intel 3D NAND SSDs, the Intel SSD D7-P5500 and P5600. Intel also disclosed its upcoming Intel Stratix 10 NX FPGAs, Intel's first AI-optimized FPGAs targeted for high-bandwidth, low-latency AI acceleration. In May, Facebook announced that 3rd Gen Intel Xeon Scalable processors are the foundation for its newest Open Compute Platform (OCP) servers. Alibaba, Baidu and Tencent have announced they are adopting the next-generation processors, said Intel.

Intel unveils AI-driven 3rd Gen Xeon Scalable chips, memory

<keyword id="28115" type="General" weightage="100" keywordseo="intel" source="Orion">Intel</keyword> saw its stock tumbling by more than 8 per cent after the chip maker said the industry-wide component shortage affected its PC chip business during the third quarter (Q3). Intel CEO Pat Gelsinger told CNBC late on Thursday that he didn't expect the semiconductor shortage to end until 2023. "We're in the worst of it now, every quarter, next year we'll get incrementally better, but they're not going to have supply-demand balance until 2023," Gelsinger was quoted as saying. The company delivered its Q3 results with revenue up 5 per cent (year-over-year) driven by strong demand in its DCG and IoTG businesses, despite the highly constrained industry-wide supply environment. "Q3 revenue was $18.1 billion slightly below our guide due to shipping and supply constraints that impacted our businesses," George S. Davis, Chief Financial Officer, said in a statement. He also announced plans to retire from Intel in May 2022. In the third quarter, the company generated $9.9 billion in cash from operations and paid dividends of $1.4 billion. According to the company, the demand remains strong in its PC business with particular strength in commercial, desktop and higher-end consumer notebooks. In an earnings call, Gelsinger said that the digitisation of everything accelerated by the four superpowers of AI, pervasive connectivity, cloud to edge infrastructure, and ubiquitous compute are driving the sustained need for more semiconductors. "The market is expected to double to $1 trillion by 2030. In that timeframe, the market for leading-edge nodes will rise to be over 50 per cent of the total, while the market for leading-edge foundry services will grow at twice the rate of the semi-industry overall," he envisioned. PC demand remains very strong, and "We believe the 2021 TAM (total addressable market) will grow double digits even as ecosystem shortages constrain our customer's ability to ship finished systems," Gelsinger added. "Customers continue to choose Intel for their datacenter needs and our third gen scalable Xeon processor Ice Lake has shipped over 1 million units since launching in April, and we expect to ship over 1 million units again in Q4 alone," he informed. SEE ALSO: <a href="https://www.businessinsider.in/tech/news/apple-will-likely-have-to-cut-its-iphone-13-production-goals-for-2021-due-to-the-global-chip-shortage/articleshow/86981620.cms">Apple will likely have to cut its iPhone 13 production goals for 2021 due to the global chip shortage</a> <a href="https://www.businessinsider.in/thelife/news/global-chip-shortages-are-expected-to-cost-automakers-210-billion-in-2021-almost-double-previous-estimates-a-consulting-firm-says/articleshow/86454305.cms">Global chip shortages are expected to cost automakers $210 billion in 2021 - almost double previous estimates, a consulting firm says</a>

Intel CEO says global chip shortage will not end before 2023

Despite the undeniable success of the <keyword id="12338004" type="General" weightage="20" keywordseo="m1-max" source="Orion">M1 Max</keyword> and <keyword id="12338005" type="General" weightage="20" keywordseo="M1-Pro" source="Orion">M1 Pro</keyword> chips, a new report has suggested that <keyword id="6354427" type="General" weightage="20" keywordseo="apple" source="Orion">Apple</keyword> still has one last Intel-powered Mac in its pipeline, which is expected to launch next year. According to MacRumors, for Intel-based Mac Pro, one can expect the desktop to feature Intel's Xeon Scalable processor, which Intel says has "advanced performance, security, efficiency, and built-in AI acceleration to handle IoT workloads and more powerful AI." Currently, there are three <keyword id="512024" type="General" weightage="20" keywordseo="macs" source="Orion">Macs</keyword> that Apple sells that run Intel chips: the 2020 27-inch iMac, the 2019 Mac Pro, and the 2018 Mac mini. Apart from them, all other Macs run Apple's silicon. Apple may continue with Intel for the Mac Pro is the fact that the firm might not be confident about its in-house silicon when it comes to desktop-class computing tasks. For those who are unaware, Apple silicon chips run on an entirely different architecture than Intel-based Macs. On Apple silicon Macs, Apple uses Rosetta 2 to automatically and seamlessly translate apps built for Intel computers to run on Apple silicon. Apple is also reportedly planning to launch a new MacBook Air next year that will use a next-generation M2 chip, a follow up to the M1. It is not expected to be as powerful as the 'M1 Pro' and 'M1 Max' as it will be aimed at lower-power devices. The upcoming MacBook Air models will have a design that's "quite similar" to the new MacBook Pros, but with a thinner body, off-white bezels, and no wedge shape. It will come in colour options that are similar to the 24-inch iMac. SEE ALSO: <a href="https://www.businessinsider.in/tech/enterprise/news/apple-and-its-patents-in-2021-heres-what-the-tech-giant-could-bring-to-you-in-the-future/articleshow/88426551.cms">Apple and its patents in 2021: Here’s what the tech giant could bring to you in the future</a> <a href="https://www.businessinsider.in/tech/news/netflix-vs-disney-plus-hotstar-plans-compared/articleshow/88339217.cms">Netflix vs Disney+ Hotstar: Subscription plans compared</a>

Apple expected to launch last Intel-powered Mac next year

<div class="KonaFilter image-container display-table"><div><div class="image on-image"><img src="https://static-ssl.businessinsider.com/image/56bb5129dd08958c148b470a-2400/the-walking-dead-zombies.jpg" border="0" alt="the walking dead zombies" data-mce-source="Gene Page/AMC" />Gene Page/AMC</div></div></div><ul class="summary-list"><li>Researchers that found the last huge <a href="https://www.businessinsider.com/category/intel">Intel</a> security hole have found a new one.</li><li>This time, however, Intel and the rest of the industry were ready with patches.</li><li>The hole impacts just about every PC and server that uses any kind of Intel processor.</li><li>It lets hackers potentially see your web history, your passwords and the your disk encryption keys.</li><li><a href="https://www.businessinsider.com/?hprecirc-bullet">Visit Business Insider's homepage for more stories</a>.</li></ul>The same researchers that found the Intel Spectre and Meltdown flaws which sent Intel and the whole tech industry reeling has found another problem with Intel chips. And they say this vulnerability, named ZombieLoad, impacts PCs and servers of all flavors if they run Intel chips.The good news is that the researchers have already reported it to Intel and other vendors, and security patches are being issued now.Intel has already patched several of its current processors, and it released microcode that will patch others, it tells Business Insider. Among the Intel chips that are vulnerable are the Xeon, Broadwell, Sandy Bridge, Skylake, Haswell chips, Kaby Lake, Coffee Lake, Whiskey Lake, Cascade Lake, Atom and Knights processors, <a href="https://www.intel.com/content/dam/www/public/us/en/documents/corporate-information/SA00233-microcode-update-guidance_05132019.pdf">the company reported. </a>Intel has given this vulnerability a <a href="https://www.intel.com/content/www/us/en/security-center/advisory/intel-sa-00233.html">security rating of "medium."</a> PC makers Apple and Microsoft have also issued patches. As have browser makers Google and Mozilla.While all of this sounds like a yawn - just another hole that vendors are patching - it is creating hubbub because it is another example of an entirely new type of security hole that impacts modern processors. It follows the discovery of the so-called Meltdown, Spectre, and Foreshadow holes in processors, which came to light last year.And there are a lot of vulnerable Intel processors out there in the world that need to be patched. However, chips that have already been patched from the Spectre hole are less vulnerable to <a href="https://zombieloadattack.com/">ZombieLoad</a>, Intel says.ZombieLoad is eye-popping because it allows hackers to see things like browser history, website content, user keys, and passwords, or system-level secrets, such as disk encryption keys. In other words, it may give hackers the literal keys to the secrets locked away through encryption on your computer. And it can be used on PCs and servers, even those in the cloud, although the big cloud vendors like Microsoft and Google have been given warnings to patch before the researcher went public with this hole.An Intel spokesperson explains that the company is already well aware of this new security hole, which has the technical name of Microarchitectural Data Sampling (MDS):"Microarchitectural Data Sampling (MDS) is already addressed at the hardware level in many of our recent 8th and 9th Generation Intel Core processors, as well as the 2nd Generation Intel Xeon Scalable Processor Family. For other affected products, mitigation is available through microcode updates, coupled with corresponding updates to operating system and hypervisor software that are available starting today.We've provided more information on <a href="https://software.intel.com/security-software-guidance/software-guidance/microarchitectural-data-sampling">our website</a> and continue to encourage everyone to keep their systems up to date, as its one of the best ways to stay protected. We'd like to extend our thanks to the researchers who worked with us and our industry partners for their contributions to the coordinated disclosure of these issues."Zombieload was discovered and reported by security researchers Michael Schwarz, Moritz Lipp, Daniel Gruss (of the Graz University of Technology) and Jo Van Bulck (of the computer science research group at KU Leuven university.)These guys are becoming so famous in the security worlds that with this new hole, they've become a <a href="https://twitter.com/DanielKartafla/status/1128354493320581120">Twitter internet meme.</a><div class="KonaFilter image-container display-table"><div><div class="image on-image"><img src="https://static-ssl.businessinsider.com/image/5cdb0f3e021b4c4faa2d2808-582/screen shot 2019-05-14 at 125502 pm.png" border="0" alt="Intel security researcher mem" data-mce-source="Twitter/@DanielKartafla" data-link="https://twitter.com/DanielKartafla/status/1128354493320581120" /><a href="https://twitter.com/DanielKartafla/status/1128354493320581120">Twitter/@DanielKartafla</a></div></div></div>Get the latest Intel stock price<a href="http://markets.businessinsider.com/stock/intc-Quote"> here.</a> <div class="margin-top"> <h3>NOW WATCH: <a href="https://www.businessinsider.com/tesla-mini-model-s-for-kids-that-costs-600-family-bought-teach-child-about-driving-electric-2019-4">Tesla has a mini Model S for kids that costs $600, and this family bought it to teach their child about driving electric</a></h3> <div> <iframe class="bijwplayerclass" data-player="jwplayer" src="https://content.jwplatform.com/players/Q2VBK8Ki-CEZHWCBG.html" width="100%" height="100%" frameborder="0" scrolling="auto" style="margin:0px;" allowfullscreen=""></iframe><script>function receiveMessage(event){ console.log(event.data.fullscreen); Android.fullscreen(event.data.fullscreen); }window.addEventListener("message", receiveMessage, false);</script> </div> </div>

A new security flaw in Intel chips called 'Zombieload' impacts PCs and servers

<ul><li><keyword id="163404" type="COMPANY" weightage="20" keywordseo="Softbank">SoftBank</keyword> reported a loss of $17.7 billion in its investments under the Vision Fund 1, exceeding its own warnings of a $16.6 billion loss. </li><li>Out of 88 investments, SoftBank said it had marked down the valuations of 47 of them, pointing at a much wider decline in the industry. </li><li>However, Arm has retained its valuation during this bloodbath – Son says that the chipset maker is valued at $25 billion. </li><li>An early Arm IPO could end up saving the sinking Vision Fund, but Son had gone on record saying that the IPO would happen in 2023. </li></ul>The fabled <keyword id="4876172" type="PERSON" weightage="20" keywordseo="softbank-vision">SoftBank Vision</keyword> Fund 1 is sinking. During the fourth quarter earnings call on May 18, the group’s chief executive Masayoshi Son revealed that his flagship tech fund had suffered annual losses for the first time in the last 15 years. Out of the 88 companies that the SoftBank Vision Fund 1 has invested in, Son assumes that as many as 15 companies could go bankrupt, while 60 others could post average performance. That leaves 13 companies, which Son believes could end up being successful. British chipmaker Arm Holdings could be one among those 13 companies. In fact, Son considers Arm to be one of the important assets of his fund. And why won’t he – Arm’s shipments have been growing exponentially. “Going forward, Arm chips are going to be used more and more by Amazon. In fact, not only Amazon's AWS, but <keyword id="10387" type="CITY" weightage="20" keywordseo="Microsoft">Microsoft</keyword> Azure, VMware, and NVIDIA as well. More and more global companies have adopted Arm based-chip for their cloud servers and that's a global trend. So, the growth of Arm I have confidence,” Son said during the earnings call. <div type="Article" hostid="261" msid="75802047" title="SoftBank Vision Fund 2 fails to raise new funds ⁠— Masayoshi Son says the company will now use its own money for investments" mstype="2" mssubtype="0"></div>After dominating the smartphone industry, Arm has its sights set on the cloud and data centre sectors, expanding its scope exponentially. Amazon Web Services, the <a href="https://www.zdnet.com/article/the-top-cloud-providers-of-2020-aws-microsoft-azure-google-cloud-hybrid-saas/">current market leader</a> in public cloud services, has <a href="https://www.zdnet.com/article/aws-graviton2-what-it-means-for-arm-in-the-data-center-cloud-enterprise-aws/">announced</a> Graviton2 chipset based on Arm’s designs for its cloud infrastructure. According to SoftBank, Graviton2 is believed to be 65% faster than <keyword id="28115" type="CITY" weightage="20" keywordseo="Intel">Intel</keyword>’s Xeon <keyword id="748756" type="PERSON" weightage="20" keywordseo="chipsets">chipsets</keyword>, and could help save up to 40% of the cost. An early Arm IPO could save the sinking SoftBank Vision Fund Arm is <a href="https://asia.nikkei.com/Business/Companies/SoftBank-s-Son-says-ARM-Holdings-to-relist-within-five-years">reportedly</a> looking at an IPO in the next 5 years. However, that may make it difficult for SoftBank, <a href="https://www.washingtonpost.com/business/energy/time-for-softbank-toconsider-thatvision-fund-ipo/2020/05/18/d43d8678-98f6-11ea-ad79-eef7cd734641_story.html">which needs</a> at least $3 billion every year in just equity dividends. SoftBank reported its first annual loss in 15 years, posting a net loss of $894 million in FY2019. During the same period last year, it posted a net profit of $19.6 billion. This suggests SoftBank’s troubles go beyond just the COVID-19 crisis – it had to write down its investments in WeWork and Uber, resulting in a loss of $17.7 billion. To meet its requirements, the company is monetising its assets but that might only work out in the short term. Over the mid and the long-term, listing companies like Arm could be the answer to SoftBank’s troubles. SoftBank acquired Arm in 2016 for $32 billion. In 2018, it <a href="https://economictimes.indiatimes.com/news/international/business/softbank-sells-25-stake-in-arm-to-vision-fund/articleshow/57545552.cms">sold</a> 25% of the stake for $8 billion. In its latest earnings, the Japanese group revealed that its stake in Arm is valued at $25 billion, which implies an appreciation of $1 billion in the chipmaker’s value. With a healthy stake of 75% in his hands, Son has enough opportunity to retain control of Arm while monetising a part of his stake to save his flagship Vision Fund. Arm shipped 100 billion chipsets in the first 27 years – the next 60 billion came in 3 years Established in 1991, Arm has shipped more than 160 billion chipsets till date. The first 100 billion shipments took 27 years, while the next 60 billion came in just 3 years. According to the Q3 2019 earnings <a href="https://www.arm.com/company/news/2020/02/record-shipments-of-arm-based-chips-in-previous-quarter">posted</a> by Arm, its shipments rose to 6.4 billion, which it says is a new record. No wonder Son believes Arm is an important asset for SoftBank Vision Fund. SEE ALSO: <a href="https://www.businessinsider.in/business/corporates/news/masayoshi-son-top-ten-quotes-from-softbank-earnings-call/articleshow/75803776.cms">Top 10 scary quotes from Masayoshi Son during the SoftBank earnings call</a> <a href="https://www.businessinsider.in/stock-market/markets/news/masayoshi-sons-softbank-group-lost-6-billion-on-alibaba-shares-and-another-1-5-billion-on-uber-during-the-covid-19-crisis/articleshow/75802026.cms">SoftBank Group lost $6 billion on Alibaba shares and another $1.4 billion on Uber during the COVID-19 crisis</a> <a href="https://www.businessinsider.in/business/startups/news/wework-india-lays-off-20-staff-says-tough-step-needed-for-sustainable-structure/articleshow/75807031.cms">WeWork India lays off 20% staff, says tough step needed for sustainable structure</a>

Masayoshi Son says AWS and Microsoft will buy more chipsets from the SoftBank Vision Fund-backed Arm, and not Intel

<ul class="summary-list"><li><keyword id="6354427" type="ORGANIZATION" weightage="60" keywordseo="apple">Apple</keyword> may start selling Mac computers powered by its own chips instead of <keyword id="28115" type="CITY" weightage="60" keywordseo="Intel">Intel</keyword>'s for the first time next year, according to Bloomberg.</li><li>The first Mac computer to run on Apple's own processor will likely be a laptop; the report says Apple's chips probably won't be powerful enough to support high-end desktop computers by 2021.</li><li>The move would give Apple much more control over the performance, features, and launch timing of its Mac products moving forward.</li><li>The Mac is currently Apple's only major product that doesn't run on its own chips.</li><li><a href="https://www.businessinsider.com/?hprecirc-bullet">Visit Business Insider's homepage for more stories</a>.</li></ul>Apple is expected to release the first Mac computers that run on its own self-developed processors rather than Intel's by next year, according to <a href="https://www.bloomberg.com/news/articles/2020-04-23/apple-aims-to-sell-macs-with-its-own-chips-starting-in-2021?sref=BWbpWjRm">Bloomberg</a>. Such a shift that would give the company significantly more control over the performance and launch timing of its <keyword id="6367615" type="UNKNOWN" weightage="60" keywordseo="Laptops">laptops</keyword>.Apple is said to be working on three different processors that are based on the A14 chip that will power the next iPhone, according to Bloomberg.Apple typically develops a new chip for each major iPhone launch. The iPhone 11 and 11 Pro, for example, run on the company's A13 Bionic processor, while the iPhone XS and XS Max were powered by Apple's A12 Bionic. Apple said when announcing the iPhone 11 and 11 Pro that the A13 Bionic chip is 20 percent faster than its predecessor. The first of these new Apple-made chips is expected to be much faster than that of the iPhone's and will arrive in a new computer next year, according to the report. It's said to be just one step in the company's broader initiative to replace Intel in its computers, a project known internally as Kalamata, says Bloomberg.The first Mac product to run on Apple's new chip will likely be a laptop, reports Bloomberg. While ARM-based chips like those that power the iPhone are known for their power efficiency, Apple won't be able to design new chips by 2021 that are as powerful as the Intel processors found in high-end laptop and desktop computers, like its Core i7 and Xeon chips.The first Apple processor is said to have eight high-performance cores and four efficiency cores, and the company is reportedly exploring chips with more than 12 cores. Adding more cores typically gives computers for bandwidth for multitasking, resulting in snappier performance. Apple is also reportedly working on a tool to ensure that apps built for Intel-powered Macs will work on the new computers.An Apple spokesperson didn't immediately respond to Business Insider's request for comment.It's far from being the first time reports have suggested that Apple is planning to move away from Intel. Bloomberg <a href="https://www.bloomberg.com/news/articles/2018-04-02/apple-is-said-to-plan-move-from-intel-to-own-mac-chips-from-2020">reported</a> roughly two years ago that such a plan was in the works. Apple's Mac lineup are currently its only products that do not run on an Apple processor. Apple creates its own A-series chips for the iPhone and iPad, S-series chips for the Apple Watch, and H1 chips for its AirPods. Developing its own Mac processors rather than relying on Intel's would give Apple more flexibility to tailor the chip's performance and capabilities to accommodate the Mac's features specifically. It would also give Apple more control over when it launches new MacBooks.The move would also represent an important step for bridging the gap between Apple's desktop and mobile experiences. Apple has made significant strides in recent years to make the experience between the Mac and the iPad more consistent to fit with the iPad Pro's positioning as a productivity device.For example, it launched a project called Mac Catalyst last year that makes it easier for developers to build a Mac app from their existing iPad app. It also re-branded the iPad's software as iPadOS last year as it began introducing more software features that are specific to the iPad and unavailable on iPhone — like a new home screen layout and a dock that can fit more apps. Apple's Mac computers have been using Intel processors since 2006, but the company has sometimes blamed Intel for slow chip updates resulting in <a href="https://www.laptopmag.com/articles/tim-cook-intel-mac-sales-decline">delayed upgrades to Apple's core lineup</a>. Making a chip for the Mac that runs on the same technology as the iPhone could further unite the company's mobile and desktop products and give the company more control over their features.Read the original article on <a href="https://www.businessinsider.com/apple-macbook-chip-based-on-iphone-12-launch-2021-intel-2020-4">Business Insider</a>

Apple's big move away from Intel could be coming next year — and it would signal a major turning point for the Mac

Intel <a href="https://e.businessinsider.com/click/19257480.4/aHR0cHM6Ly93d3cuaW50Yy5jb20vaW52ZXN0b3ItcmVsYXRpb25zL2ludmVzdG9yLWVkdWNhdGlvbi1hbmQtbmV3cy9pbnZlc3Rvci1uZXdzL3ByZXNzLXJlbGVhc2UtZGV0YWlscy8yMDIwL0ludGVsLVJlcG9ydHMtRm91cnRoLVF1YXJ0ZXItMjAxOS1GaW5hbmNpYWwtUmVzdWx0cy8/5d233c18f730436f2414784fB426d67f6" target="_blank" rel="noopener">hauled</a> in $20.2 billion in Q4 revenue, up 8% year-over-year (YoY) - a testament to the company's business strategy shift toward high-growth, differentiated product segments.<img src="https://static-ssl.businessinsider.com/image/5e2ef3b65bc79c461b2234af-650/mobileye quarterly revenue.png" alt="Mobileye Quarterly Revenue" />The company underwent a transformation several years ago when it decided, <a href="https://e.businessinsider.com/click/19257480.4/aHR0cHM6Ly9zZWVraW5nYWxwaGEuY29tL2FydGljbGUvNDMxODgwMy1pbnRlbC1jb3Jwb3JhdGlvbi1pbnRjLWNlby1ib2Itc3dhbi1vbi1xNC0yMDE5LXJlc3VsdHMtZWFybmluZ3MtY2FsbC10cmFuc2NyaXB0P3BhcnQ9c2luZ2xl/5d233c18f730436f2414784fB352cdd15" target="_blank" rel="noopener">according to</a> Intel CEO Bob Swan, that it should "take advantage of the data revolution that is reshaping computing." In Q4, over half of Intel's revenue came from its data-centric business segments.On the flip side of this transformation effort, Intel shed business segments that had become bogged down by fierce competition: It sold its smartphone-modem <a href="https://e.businessinsider.com/click/19257480.4/aHR0cHM6Ly93d3cud3NqLmNvbS9hcnRpY2xlcy9pbnRlbC1hZ3JlZXMtdG8tc2VsbC1zbWFydHBob25lLWNoaXAtYXNzZXRzLXRvLWFwcGxlLTExNTY0MDg2Mzkx/5d233c18f730436f2414784fB9c1c196f" target="_blank" rel="noopener">chip division</a> to Apple for $1 billion in July 2019, its Wind River <a href="https://e.businessinsider.com/click/19257480.4/aHR0cHM6Ly93d3cuemRuZXQuY29tL2FydGljbGUvaW50ZWwtc2VsbHMtd2luZC1yaXZlci10by10cGcv/5d233c18f730436f2414784fBfe0c5d3e" target="_blank" rel="noopener">embedded software unit</a> to TPG for an undisclosed amount in 2018, and the majority of its <a href="https://e.businessinsider.com/click/19257480.4/aHR0cHM6Ly93d3cucGN3b3JsZC5jb20vYXJ0aWNsZS8zMTg3NDM4L2ludGVsLWRpdmVzdHMtbWNhZmVlLWFmdGVyLXJvdWdoLW1hcnJpYWdlLXdpbGwtbm93LXNlY3VyZS1oYXJkd2FyZS5odG1s/5d233c18f730436f2414784fB61c81076" target="_blank" rel="noopener">holdings</a> in security software McAfee, also to TGP, for $3.1 billion in 2017. The transformation effort saw Intel focus on its "double-digit" growth segments that allow it to differentiate from competitors. Here's how three such business units performed in Q4: <ul><li>Data centers reached record revenue of $7.2 billion, up 19% YoY. Intel provides high-performance processors designed to power data centers, as well as its own cloud services for enterprise clients. The segment benefited from Intel's mid-2019 release of its second-generation Xeon Scalable Processors, which targeted what Intel identified as a total available market of $300 billion for data-centric products. The company also <a href="https://e.businessinsider.com/click/19257480.4/aHR0cHM6Ly92ZW50dXJlYmVhdC5jb20vMjAxOS8xMi8xNi9pbnRlbC1hY3F1aXJlcy1haS1jaGlwLXN0YXJ0dXAtaGFiYW5hLWxhYnMtZm9yLTItYmlsbGlvbi8/5d233c18f730436f2414784fBe25a9d4f" target="_blank" rel="noopener">acquired</a> Habana Labs for $2 billion in Q4, which should help bolster its AI capabilities for data center applications. </li><li>Mobileye hit a record $240 million in revenue, up 31% YoY. Intel continues to reap the benefits of expanded service segments within its autonomous tech group, which it <a href="https://e.businessinsider.com/click/19257480.4/aHR0cHM6Ly9pbnRlbGxpZ2VuY2UuYnVzaW5lc3NpbnNpZGVyLmNvbS9wb3N0L21vYmlsZXllLXJldmVudWUtdXAtYXMtaW50ZWwtcHV0cy1pdC1mcm9udC1hbmQtY2VudGVyLWluLWF1dG9ub21vdXMtZWZmb3J0cy1hbWF6b25zLW9uZS1kYXktc2hpcHBpbmctbG9naXN0aWNzLWNoYWxsZW5nZS1ibG9ja2NoYWluLXVzZWQtZm9yLWF2LWRhdGEtc2hhcmluZy0yMDE5LTQ/5d233c18f730436f2414784fBad87e636" target="_blank" rel="noopener">acquired</a> for $15.3 billion in 2017. The new segments offer data processing within the AV space, and the core EyeQ computer vision and mapping segment grew revenues 41% YoY, benefiting from the <a href="https://e.businessinsider.com/click/19257480.4/aHR0cHM6Ly9pbnRlbGxpZ2VuY2UuYnVzaW5lc3NpbnNpZGVyLmNvbS9wb3N0L3Ztd2FyZS1idXlpbmctY29tcGFueS10by1pbXByb3ZlLWFpLW5ldHdvcmstbWFuYWdlbWVudC1mYWNlYm9vay1kcm9wcy1vY3VsdXMtZ28tZnJvbS1lbnRlcnByaXNlLXZyLXBsYXRmb3Jt/5d233c18f730436f2414784fBdd9f6e6e" target="_blank" rel="noopener">still-escalating</a> race for AV deployment.</li><li>The IoT Group (IoTG) brought in $920 million, a 13% annual jump. Swan reported that retail and transportation were IoTG's strengths. The company <a href="https://e.businessinsider.com/click/19257480.4/aHR0cHM6Ly92ZW50dXJlYmVhdC5jb20vMjAxOS8xMS8xMi9pbnRlbC1kZXRhaWxzLWtlZW0tYmF5LWEtbW92aWRpdXMtcHJvY2Vzc29yLWZvci1jb21wdXRlci12aXNpb24tYXQtdGhlLWVkZ2Uv/5d233c18f730436f2414784fB1b6cec07" target="_blank" rel="noopener">unveiled</a> its Keem Bay vision processing unit in the quarter, for instance, which could become <a href="https://e.businessinsider.com/click/19257480.4/aHR0cHM6Ly9pZWVleHBsb3JlLmllZWUub3JnL2llbDcvNjI4NzYzOS84NjAwNzAxLzA4NjA1MzAyLnBkZg/5d233c18f730436f2414784fBb4b06187" target="_blank" rel="noopener">integral</a> to the deployment of V2X solutions. The unit is focusing on edge processing for IoT technologies, which will help manage the influx of data coming from connected device deployments in the coming years.</li></ul>Intel seems to be focusing increasingly on enterprise solutions rather than its consumer-facing efforts. Though Intel's PC-centric division accounted for nearly half of its revenue in Q4 at $10 billion, up 2% YoY, the company has indicated that its growth priorities lie elsewhere.It will likely continue to divert resources away from its consumer-centric positioning, foregoing such initiatives as "Intel Inside" or PC laptop arms races, and instead focus on R&amp;D within B2B segments. Intel is increasingly focused on selling to figures such as CIOs, who have prioritized spending in AI and data analytics, <a href="https://e.businessinsider.com/click/19257480.4/aHR0cHM6Ly93d3cuZ2FydG5lci5jb20vZW4vbmV3c3Jvb20vcHJlc3MtcmVsZWFzZXMvMjAxOS0wMS0yMS1nYXJ0bmVyLXN1cnZleS1zaG93cy0zNy1wZXJjZW50LW9mLW9yZ2FuaXphdGlvbnMtaGF2ZQ/5d233c18f730436f2414784fB292eff63" target="_blank" rel="noopener">according to</a> the 2019 Gartner CIO Survey, which included 3,000 CIO respondents representing $284 billion in IT spending. <a href="https://www.businessinsider.com/intelligence/connectivity-and-tech-pro?IR=T&amp;itm_source=businessinsider&amp;itm_medium=ctgr_bii&amp;itm_term=ctgr_subscription&amp;itm_content=iot&amp;itm_campaign=connectivity-and-tech-pro-2"><img src="https://static.businessinsider.com/image/5dcb0e3e3afd377ea8657142" alt="Signup Today: Connectivity and Tech Pro by Business Insider Intelligence" style="width: 100% !important" /></a>

Intel's massive Q4 revenue is a testament to its shift toward high-growth enterprise solutions

<div class="KonaFilter image-container display-table float_right"><div><div class="image on-image"><img src="https://static-ssl.businessinsider.com/image/56426ebf9dd7cc1d008c8f4a-2513-1885/gettyimages-461102418.jpg" alt="Intel CEO Brian Krzanich" data-mce-source="Ethan Miller/Getty Images" data-mce-caption="Intel CEO Brian Krzanich" />Ethan Miller/Getty ImagesIntel CEO Brian Krzanich</div></div></div>Intel's chips are used in 95% of the server market, powering some of the world's largest data centers.That includes most of the public cloud services, like Amazon Web Services and Microsoft Azure, who get highly customized chips from Intel.Backed by Intel's high-performance chips, AWS is now generating $7 billion a year, while Azure is estimated to be at a revenue run rate of $1.4 billion, according to Deutsche Bank.So as the world increasingly moves to the cloud, Intel's Data Center Group, the part of the company that makes server chips and generated $4.1 billion in revenue last quarter alone, should be in position to mint even more cash, right?Not in the long run, according to some analysts. The growing share of the big public cloud providers could give them substantial buying power over Intel, potentially forcing steeper discounts.The reasoning is simple: If more and more companies start shutting down their own data centers, in favor of renting server power and storage space from public cloud services, Intel's customer base will get concentrated to a handful of large customers, like AWS and Azure, giving them more leverage than ever.In fact, according to Deutsche Bank, GE plans to close 30 of its 34 data centers by 2020, while Capital One is already taking steps to shutter 5 of its 8 data centers to move its "IT workload" to AWS. Azure is lagging behind, but <a href="http://www.businessinsider.com/why-amazon-is-so-hard-to-topple-in-the-cloud-and-where-everybody-else-falls-2015-10">Gartner estimates</a> it's actually growing faster than AWS in some areas."If the big public players continue to get bigger, they will have more leverage over Intel," Patrick Moorhead, principal analyst at Moor Insights &amp; Strategy, told Business Insider. "In a way, Intel helped create a monster with the massive help it has provided them."<h2 class="p2">Depends on what you mean by "cloud"</h2>Intel has been trying to reduce its reliance on PC chip sales as the PC market continues to shrink, and now the Data Center Group is the fastest growing and most profitable unit within Intel.Public cloud is still a small portion of the overall data center business, and it's perhaps years away from becoming the de facto solution for the world's largest companies. But public cloud vendors also represent the fastest growing portion of Intel's Data Center Group revenue, and Intel's been seeing 50% compound annual growth in CPU sales to public cloud vendors since 2009, according to Deutsche Bank.That means an increasing share of that group's revenue wil come from fewer customers."There's risk to Intel when your customers have a great deal of market power. Intel has been wanting to encourage an ecosystem that's more diverse," Gartner's cloud analyst Lydia Leong told us.<div class="KonaFilter image-container display-table float_left"><div><div class="image on-image"><img src="https://static-ssl.businessinsider.com/image/56426edf9dd7cc11008c8f38-601-450/diane-bryant_1.jpg" alt="Intel SVP of Data Center Group Diane Bryant" data-mce-source="Intel" data-mce-caption="Intel SVP of Data Center Group Diane Bryant" />IntelIntel SVP of Data Center Group Diane Bryant</div></div></div>Intel's head of Data Center Group Diane Bryant disagrees. She says it's not just the public cloud vendors growing the overall pie, but a long tail of customers that include lots of private cloud data centers as well."The top 10 cloud services continue to grow at a very nice clip, but the next 200 are growing at twice the rate of the top 10," Bryant told Business Insider.On top of that, Bryant believes Intel's technology is still far ahead of its competitors that the customers will continue to stick to Intel's chips for a long time. AWS, for example, just announced last month that it would be using E7, Intel's most advanced Xeon processor, in the cloud."When you work with the cloud service providers, they are looking to deploy the best technology as fast as they possibly can. They're always looking for custom unique solutions," she said.<h2 class="p2">What about competition?</h2>Intel's competitive advantage may not last long as competitors like ARM are starting to sign up big customers as well.Jim McGregor, the principal analyst at TIRIAS Research, points out companies like PayPal have already adopted ARM-based chips in its data centers and seeing positive results. "They're basically saying, 'We're siding with ARM because we need a very customized solution, and they're going to do whatever we want to do,'" McGregor said.On top of that, recent reports suggest companies like Amazon and Google could go completely in-house in the future, taking a more vertical approach to chip-making. Amazon, for example, spent over $350 million to acquire a chip design company <a href="http://www.wsj.com/articles/amazon-in-advanced-talks-to-buy-israels-annapurna-labs-1421936575?alg=y">called Annapurna Labs</a>, earlier this year.Bryant is aware of all the rising competition, but she believes Intel's Data Center business is in a good position. The group is growing 15% annually on average, and Intel is continuing to invest in its technology, as seen in <a href="http://www.businessinsider.com/intel-is-buying-altera-for-54-a-share-2015-6">its $16.7 billion acquisition of Altera</a> this year."When you have 97% share of the market, you're always looking for where the competition may come in," Bryant said. "As long as I can give the cloud service providers the best technology, I believe they'll continue to rely on us based on the investment that we make."Disclosure: Jeff Bezos is an investor in Business Insider through hispersonal investment company Bezos Expeditions.

Intel helped Amazon Web Services become a monster, and it could end up backfiring

<div class="KonaFilter image-container display-table float_right"><div><div class="image on-image"><img src="https://static-ssl.businessinsider.com/image/5681e9a8c08a80872f8b4758-691-519/intel-corp-chief-shows-wrist-worn-drone-promises-to-employ-more-women.jpg" alt="Brian Krzanich, CEO of Intel, talks about the company's RealSense camera technology at his keynote at the International Consumer Electronics show (CES) in Las Vegas, Nevada January 6, 2015. REUTERS/Rick Wilking " data-mce-source="Thomson Reuters" data-mce-caption="Krzanich, CEO of Intel, talks about the company's RealSense camera technology at his keynote at the International Consumer Electronics show in Las Vegas" />Thomson ReutersIntel CEO Brian Krzanich</div></div></div>On Monday, Intel finally closed the $16.7 billion deal to buy programmable chipmaker Altera. The deal <a href="http://www.businessinsider.com/intel-is-buying-altera-for-54-a-share-2015-6">was first announced</a> in May but it took more than 6 months to complete the process.Anytime a company spends this much on a single deal - it's Intel's largest acquisition ever - it creates a lot of chatter around why it did so.We'll have to wait and see exactly how the two companies benefit each other, but Intel CEO Brian Krzanich pointed to three main reasons for the acquisition <a href="http://seekingalpha.com/article/3725686-intels-intc-ceo-brian-krzanich-presents-at-credit-suisse-technology-media-and-telecom-brokers-conference-transcript?part=single">at a recent Credit Suisse conference</a>:1) Moore's Law can improve Altera's FPGA manufacturing process: Intel's chipmaking process has been predicated on something called Moore's Law, a "law" that stipulates the chip size will shrink while doubling computing power every two to two and a half years. Altera's FPGA chips are a special type of chip that can reconfigure its functionality after purchase, and Intel's advanced manufacturing process can help it bring to market faster."We believe we can add to their architectural capabilities and their Moore's Law capabilities to grow the base business at a faster rate," Krzanich said.2) It speeds up the data center performance: Intel is betting on its data center chips to drive future growth, and Altera's FPGA chips have become increasingly popular among companies that run large data centers. Krzanich plans to combine FPGA chips with its traditional processors to bring much better performance.In fact, Wendell Brooks, Intel's VP of mergers and acquisitions, <a href="http://www.wsj.com/articles/intel-completes-acquisition-of-altera-1451338307?mod=WSJ_TechWSJD_NeedToKnow">told the WSJ</a> that packaging FPGA and Intel's Xeon chips together could improve performance by up to 50%, while integrating the two technologies into a single product could double or triple the performance.3) It takes Intel beyond the core PC business: Intel historically generated most of its sales by selling chips for PCs, but with a shrinking PC market, it's been looking for other industries to drive growth. One of them is the market for Internet of Things, in which Intel provides chips that power devices that connect to each other. Krzanich cited things like driverless cars as possible areas it could further get into.Krzanich said adding the FPGA technology will "drive performance, power and cost reductions as a result," and take Intel into "multiple sectors."The market seems to be in favor of the Altera move, too. Intel shares are up 1.5% as of Tuesday morning, hovering at around $35.44 per share. Deutsche Bank's Ross Seymore gave a buy rating and raised the price target to $38 per share."We estimate Altera to contribute $1.76 billion revenue to Intel's Data Center Group segment in 2016 in-line with our current revenue estimate for Altera," Seymore wrote. "We now estimate Intel's Data Center Group revenues to grow +21% year-over-year, up from +10% year-over-year previously as Altera accounts for ~53% of year-over-year Data Center Group revenue growth." <div class="margin-top"> <h3>NOW WATCH: <a href="http://www.businessinsider.com/hilcorp-gives-all-employees-100000-bonus-jeffery-hildebrand-2015-12">A self-made billionaire in Texas just gave each of his 1,381 employees a $100,000 bonus</a></h3> <div> <div> <script src="http://player.ooyala.com/v3/6e12e8b3387a44daacfb73afba25a76e"></script> <div class="ooyala-video-player" data-video-autoplay="false" data-video-id="cxamJneTpwe4Cr8QQ_UFRq5qWjmgRVwi" data-player-variable="ooyalapopvideo" id="ooyalaplayer_popvideo" style="width:1280px;height:720px"></div> <script> if (typeof RunFunctions === 'undefined') { var RunFunctions = []; } RunFunctions.push(function() { var ooyalapopvideo = OO.Player.create('ooyalaplayer_popvideo', 'cxamJneTpwe4Cr8QQ_UFRq5qWjmgRVwi',{ autoplay: 'false' }); }); </script> <noscript><div>Please enable Javascript to watch this video</div></noscript></div> </div> <script>(function() { function createPlayer() { OO.ready(function() { RunFunctions.forEach(function(ooyalaFunction) { ooyalaFunction(); }); RunFunctions = [];}); } createPlayer(); }()); </script> </div>

3 reasons why Intel pulled the trigger on a massive $16.7 billion deal, its biggest ever

<ul class="summary-list"><li>The Cloud 1.0 era was dominated by Amazon Web Services. </li><li>The generative AI boom has ushered in the Cloud 2.0 era. </li></ul>When you're building a house, you can do it in various ways. You can build all the tools you need and then hike into a forest to chop down wood and turn that into your final structure. Or, you can go to Home Depot and buy wood that's already been chopped down, along with all the nails, hammers and other equipment you need.Or, you can pay a contractor to do most of the work. Over the past 15 years, <a target="_blank" href="https://www.businessinsider.com/amazon-aws-struggles-in-saas-business-applications-cloud-market-hubspot-2021-11">Amazon Web Services</a> became the go-to contractor for anyone wanting to build something online. A website, an app, a business software service. Nowadays, very few developers venture into the digital forest and chop down their own semiconductors and build their own servers and data centers. AWS does it all for you, and provides most of the tools you need. This is what turned AWS from a fringe idea in 2006 into a $80 billion business with juicy profit margins and a huge, sticky customer base. This is the essence of a technology platform. The rise of <a target="_blank" href="https://www.businessinsider.com/generative-ai-threat-to-saas-companies-software-as-a-service-2023-5">generative AI</a> has created what some technologists are calling Cloud 2.0. There's a new stack of hardware, software, tools, and services that will power AI applications for years to come. Which company will be the go-to contractor in this new world? When you're building your AI house, who will you turn to for all that digital wood and the right tools that just work well together to get the job done?At the moment, AWS doesn't look like the leader here, while <a target="_blank" href="https://www.businessinsider.com/nvidia-shocker-1-trillion-spent-ai-data-centers-4-years-2023-8">Nvidia</a> has a massive head start. <div type="image" title="jensen huang drive nvidia ces" height="1274" width="2000" msid="104157223" hostid="261" sizebytes="151410"></div>Nvidia designs and sells <a target="_blank" href="https://www.businessinsider.com/tech-giants-spending-nvidia-gpus-google-meta-amazon-2023-7">GPUs</a> that are the go-to chip used by almost everyone who is creating large language models and other big AI models. These components were being used by AI researchers more than a decade ago when <a target="_blank" href="https://www.businessinsider.com/andrew-ng-ai-artificial-intelligence-playbook-2018-12">Andrew Ng</a> and others discovered GPUs could handle many computations in parallel. In contrast, AWS launched its Trainium GPU for AI model training in December 2020, almost a decade later. During that decade, Nvidia also built a platform around its GPUs that helped AI developers do their jobs. The company created compilers, drivers, an operating system, tools, code libraries, training notes and videos, and more. The core of this platform is a programming language called CUDA. There are now more than 4 million registered Nvidia developers who use CUDA all its related tools. That's up from 2 million in August 2020, and 1 million two years before that. The closest thing AWS has right now is called Neuron. This was released in 2019, according to <a target="_blank" href="https://github.com/aws-neuron/aws-neuron-sdk/releases/tag/v1.0.0">its Github page</a>. CUDA came out in 2007. <h2>Libraries, models, and frameworks</h2>Michael Douglas, a former Nvidia executive, spoke to Bernstein analysts recently about all this, explaining that the chipmaker's software and tools are far ahead of the competition: <ul><li>There are 250 software libraries available to developers that sit on top of CUDA. A library is pre-built code that performs a function like handling video or audio or doing something in graphics.</li><li>There are also 400 pre-built models that Nvidia offers developers for AI tasks such as image recognition and voice synthesis.</li><li>These libraries and models are weaved together with popular software frameworks such as PyTorch, TensorFlow, Windows and VMware. </li><li>This all sits in stacks on top of 65 platforms. A platform provides most of the other software developers need to operationalize something in an environment in a data center, or at the edge, with AI. </li></ul>"What that means is that, it's like if you want to build a house, the difference between going into the forest and having to cut down your own trees and make your own tools or going into Home Depot, where you buy the lumber and the tools and get everything to work together," Douglas said. <h2>Cloud 2.0</h2>Another key point here: Most AI developers already know how to use CUDA and Nvidia GPUs. All the hacks, tricks, and other shortcuts are embedded in the community. Arguably, Nvidia has already created an AI cloud platform – as AWS once did for the Cloud 1.0 era. As we move into Cloud 2.0, this will be hard for AWS, or anyone else, to break. "Nvidia has been betting on AI for a long time. They have a level of software maturity that no other provider can match," said Luis Ceze, CEO and cofounder of AI startup OctoML. "With Amazon, there's still a lot to mature there. People must have confidence that the silicon is good and the system software is there." Amazon's offering is just not as complete yet, he added. "Look at the experience of developers trying to bring AI models to train on AWS versus Nvidia. These are world's apart right now," Ceze explained.<h2>The Amazon-Anthropic feedback loop</h2>Don't count AWS out yet, though. It's early days, as <a target="_blank" href="https://www.businessinsider.com/andy-jassy-amazon-web-services-ceo-2021-1">Andy Jassy</a> and <a target="_blank" href="https://www.businessinsider.com/aws-ceo-adam-selipsky-stressed-about-amazon-day2-culture-2023-7">Adam Selipsky</a> keep saying. <a target="_blank" href="https://www.businessinsider.com/amazon-vp-distinguished-engineer-james-hamilton-profile-aws-jassy-boat-2021-8">James Hamilton</a> is an AWS cloud infrastructure genius who can take on Nvidia, even if the chipmaker has a major head start. "Nvidia has a lock on the market due to advantages in software," said Oren Etzioni, a technical director at the AI2 Incubator and a partner at Madrona Venture Group. "There's an argument that this window is starting to close."The Cloud 2.0 race really kicked off in late September when Amazon announced an <a target="_blank" href="https://www.businessinsider.com/amazon-invests-4-billion-in-anthropic-2023-9">investment of up to $4 billion</a> in an AI startup called <a target="_blank" href="https://www.businessinsider.com/anthropic-cofounder-daniela-amodei-trust-safety-generative-artificial-intelligence-2023-4">Anthropic</a>. This relatively small San Francisco-based company is packed with researchers who helped create the core GPT technology at the heart of today's generative AI boom. Anthropic has one of the most capable large AI models out there, called Claude.<div type="image" title="Dario Amodei Anthropic" height="5179" width="5179" msid="104157225" hostid="261" sizebytes="2214932"></div>Anthropic will now use AWS's in-house Trainium and Inferentia chips to build, train, and deploy its future AI models, and the two companies will collaborate on the development of future Trainium and Inferentia technology.A key part here is the feedback loop between Anthropic and AWS. Those AI pioneers at Anthropic are now committed to using AWS's GPUs, along with all the related software and tooling. If AWS is lacking here, Anthropic can help identify the biggest holes and suggest ways of filling them. To catch Nvidia, AWS really needed a marquee developer like this. All it took was $1 billion to $4 billion. "Amazon needs a major AI player using its own silicon," said Ceze. "Amazon being able to show Anthropic running their workloads on Amazon chips is a win. They want other folks building AI models to feel confident that the silicon is good and the software is mature."<h2>Avoiding the Nvidia tax</h2>Making your own AI chips is a really important advantage for winning the Cloud 2.0 race. If AWS has to keep buying Nvidia GPUs, it will have to pay a margin to Nvidia. (Some AI experts call this the Nvidia tax). That will make AWS's Trainium and Inferentia cloud services more expensive to run. If, instead, AWS can make its own AI chips, then it gets to keep that Nvidia profit margin for itself. That means it can offer AI training and inference cloud services that are more cost effective. At a recent AWS event in Seattle, Selipsky, AWS's CEO, hammered this message home: AWS's AI cloud services will be competitive based on "price performance." This means it should be more efficient to build AI models on AWS, according to the CEO. <div type="image" title="Adam Selipsky reInvent" height="1996" width="3000" msid="104157227" hostid="261" sizebytes="115550"></div>In the Cloud 1.0 era, AWS pulled this off partly through the acquisition Annapurna Labs in 2015. This startup helped Amazon design its own Gravitron CPUs for its cloud data centers. Suddenly, AWS no longer needed to buy as many expensive Xeon chips from Intel. This was an important element that made AWS such a competitive and successful cloud provider. <h2>How easy it is to switch from Nvidia?</h2>Here's the problem though: You can have great AI chips and great prices, but will anyone switch from using Nvidia GPUs and the CUDA platform? If they don't, AWS might not win Cloud 2.0 in the way it did with Cloud 1.0. This brings us back to the house-building analogy. At the moment, Nvidia probably offers the best combination of wood and tools to get the job done. If you're already using this, can you switch easily? I asked Sharon Zhou, cofounder of Lamini AI. Her startup spent months building a data center from scratch to help customers train AI models. When it was unveiled in September, the surprise was that Lamini used AMD GPUs rather than Nvidia chips. How was the switch? Zhou said Lamini didn't even try because it would have been so hard. "We never switched. We started the company on AMD. That's why it works," she said. "Switching would be more difficult than starting from scratch. If you want to switch, you'd have to apply a major refactor to your entire codebase."She also went back to one of the same points that Douglas, the former Nvidia exec, made: The AI libraries and other frameworks and tooling around CUDA are just more developed. "Libraries are heavily integrated with Nvidia today," Zhou said. "You need to reimplement fundamental abilities to work with large language models. Outside of the fundamentals, you need to do so for other common libraries, too."<h2>Nvidia's lock-ins</h2>Etzioni said Nvidia still has 2 main lock-ins with AI developers. The first is that PyTorch, a popular AI framework, is optimized really well for CUDA and therefore Nvidia GPUs. OctoML, the startup Ceze runs, is working on a bunch of gnarly technical fixes that it hopes will make it easier for AI developers to use any GPU with different frameworks and platforms in the future, including AWS's offerings. Second, once you can efficiently connect to another AI software stack, that alternative platform has to be at least as good as CUDA. "And the alternatives are just not there yet," Etzioni said. AMD may be the closest to Nvidia at the moment, according to Etzioni. That chipmaker has ROCm, a software platform that gives AI developers access to popular languages, libraries and tools. He didn't mention AWS or Trainium, though.

Amazon dominated the first cloud era. The AI boom has kicked off Cloud 2.0, and the company doesn't have a head start this time. 

<img src="https://static-ssl.businessinsider.com/image/5dcc29727eece549c825a6b4-2400/gettyimages-1153510473.jpg" alt="Mac Pro" />Justin Sullivan/Getty ImagesThe Mac Pro (left) and Pro Display XDR (right) from behind<ul class="summary-list"><li><a href="https://www.businessinsider.com/category/apple">Apple's</a> new <a href="https://www.businessinsider.com/category/mac-pro">Mac Pro</a> starts at $6,000 but costs more than $50,000 if you outfit it with top-of-the-line specifications.</li><li>While those may seem like wild prices for the average consumer, it makes more sense when considering Apple's target audience for the Mac Pro.</li><li>The Mac Pro isn't meant for the average computer user, but rather professionals that need to manage heavy workloads on a daily basis.</li><li>That could make it a fit for those working in the film production industry, or businesses and organizations looking for an infrastructure solution.</li><li><a href="https://www.businessinsider.com/">Visit Business Insider's homepage for more stories.</a></li></ul>Apple's new Mac Pro <a href="https://www.businessinsider.com/apple-mac-pro-price-max-specs-costs-over-50000-2019-12">costs as much as Tesla's Cybertruck</a> if you outfit it with top-of-the-line specifications. Starting at $6,000 for the base model and going all the way up to just over $52,000, the Mac Pro is tens of thousands of dollars more expensive than your average computer.And there's a good reason why: it's not meant for the average person. "For that money, you're not buying a PC," Ranjit Atwal, a senior research director at market research firm Gartner, told Business Insider. The Mac Pro, which Apple launched on December 10 after announcing it in June, is a computing powerhouse designed for professionals and businesses that regularly manage very heavy workflows. That could include tasks involving large-scale data processing, app and video game development, networking infrastructure, film editing, and music production.The Mac Pro runs on an Intel Xeon W processor, the line of Intel chips optimized for tasks like 3D rendering, the development of artificial intelligence programs, and running complex 3D CAD software. The $6,000 base model comes with an 8-core processor, 32GB of memory, and Radeon Pro 580X graphics with 8GB of memory and 256GB of storage space.But the high-end model that will run you more than $50,000 comes with a beefy 28-core processor, 1.5TB of memory, two Radeon Pro Vega II Duo GPUs, and 4TB of storage. You can also add Apple's Afterburner card, which is an accelerator card that can enable playback of three streams of RAW 8K video simultaneously, for an extra $2,000, and wheels for $400.Atwal sees the Mac Pro, especially the high-end configurations that cost tens of thousands of dollars, as being more of an infrastructure solution than a traditional computer. "That's what you would expect to get for those kinds of price points," Atwal said. "It's almost a portable data center."The Mac Pro could also be well-suited for those interested in best-in-class gaming, says Jeff Fieldhack, research director at Counterpoint Research. "At the price, this is for the hardcore gamer and performance junkies," he said to Business Insider via email. Until this week, Apple hadn't launched a new Mac Pro since 2013, when it released the cylindrical model that some likened to a trash can - a design that made the Mac Pro difficult to upgrade. Apple addressed that with the new 2019 model, which features a new build that allows for easy access to internal components. But that didn't prevent some from poking fun at the design yet again, this time <a href="https://www.cnet.com/news/new-apple-mac-pro-design-inspires-cheese-grater-jokes-and-theyre-gouda/">comparing it to a cheese grater</a>.The launch comes after Phil Schiller, Apple's senior vice president of worldwide marketing, said in 2017 when speaking to a group of journalists at <a href="https://www.buzzfeednews.com/article/johnpaczkowski/apple-says-it-is-completely-rethinking-the-mac-pro#.gg3pkyblQ">BuzzFeed</a> and <a href="https://techcrunch.com/2017/04/04/apple-pushes-the-reset-button-on-the-mac-pro/?ncid=rss">TechCrunch</a> among others that the company was "completely rethinking the Mac Pro." <a href="https://www.businessinsider.com/intelligence/bi-intelligence-daily?IR=T&amp;itm_source=businessinsider&amp;itm_medium=ctgr_bii&amp;itm_term=ctgr_subscription&amp;itm_content=apple&amp;itm_campaign=bi-intelligence-daily"><img src="https://static.businessinsider.com/image/5dc428a57eece546b8629657" alt="Signup Today: Free Daily Newsletter from Business Insider Intelligence" style="width: 100% !important" /></a> <h3>NOW WATCH: <a href="https://www.businessinsider.com/worst-tech-decade-hoverboard-google-glass-snapchat-spectacles-galaxy-note">Worst tech of the decade</a></h3> <iframe class="bijwplayerclass" src="https://content.jwplatform.com/players/z5foK7CO-CEZHWCBG.html" width="100%" height="100%" frameborder="0" scrolling="auto" style="margin:0px;"></iframe>

You Searched For "Intel Xeon chips" and got 12 results

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