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Microsoft and Intel strike $15+ billion custom chip manufacturing deal


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Microsoft is a big win for Intel’s chip foundry business.

 

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Intel will be producing custom chips, designed by Microsoft for Microsoft, as part of a deal that Intel says is worth more than $15 billion. Intel announced the partnership during its Intel Foundry event today. Although neither company specified what the chips would be used for, Bloomberg noted today that Microsoft has been planning in-house designs for both processors and AI accelerators.

 

“We are in the midst of a very exciting platform shift that will fundamentally transform productivity for every individual organization and the entire industry,” said Microsoft CEO Satya Nadella in the official press release.

 

The chips will use Intel’s 18A process, which has been a big part of its road map since the company brought CEO Pat Gelsinger back to turn things around. The company is counting on its chip foundry services to put it back on top of the chipmaking world, and it seems that Microsoft will be the first major customer for this project.

 

 

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  • Commissar SFLUFAN changed the title to Microsoft and Intel strike $15+ billion custom chip manufacturing deal
6 minutes ago, Massdriver said:

I’m happy for Intel. I am hoping they somehow win the next Xbox contract to shake things up.

 

The leaked FTC trial documents suggested that the next-generation Xbox will again use AMD architecture. 

 

https://videocardz.com/newz/xbox-series-2024-refresh-and-next-gen-xbox-details-leak-out-microsoft-considering-amd-zen6-and-navi5-architectures

 

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1 hour ago, Commissar SFLUFAN said:

 

The leaked FTC trial documents suggested that the next-generation Xbox will again use AMD architecture. 

 

https://videocardz.com/newz/xbox-series-2024-refresh-and-next-gen-xbox-details-leak-out-microsoft-considering-amd-zen6-and-navi5-architectures

 

Yeah, sucks. There were earlier rumors that Intel was in the running, but looks like Microsoft just used them to negotiate a better deal with AMD. I would prefer Intel stay in the GPU game. 

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