By    Sean Hollister , a senior editor and founding member of The Verge who covers gadgets, games, and toys. He spent 15 years editing the likes of CN

Intel’s Gaudi AI chips are far behind Nvidia and AMD, won’t even hit $500M goal

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2024-10-31 22:30:03

By Sean Hollister , a senior editor and founding member of The Verge who covers gadgets, games, and toys. He spent 15 years editing the likes of CNET, Gizmodo, and Engadget.

Nvidia made a fortune on the AI boom. AMD’s rival AI chip became the fastest ramping product in its history, already pulling in $1 billion per quarter and inspiring AMD to remake itself as an AI company too. But Intel, which suggested it would pull in $1 billion, even $2 billion on the back of AI in 2024, now says it won’t even meet its more modest $500 million goal for its Gaudi AI accelerator this year.

“We will not achieve our target of $500 million in revenue for Gaudi in 2024,” CEO Pat Gelsinger just said on the company’s Q3 2024 earnings call today.

Though Intel just launched its recent Gaudi 3 accelerator this past quarter, said Gelsinger, “the overall uptake of Gaudi has been slower than we anticipated as adoption rates were impacted by the product transition from Gaudi 2 to Gaudi 3 and software ease of use.”

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