Intel and OpenAI leaders unanimously emphasize that the era of artificial intelligence will inevitably lead to a surge in chip demand

Artificial intelligence leads to a surge in chip demand

Since the launch of the highly anticipated AI innovation product ChatGPT at the end of 2022, OpenAI has clearly become one of the most dazzling star companies in the global technology industry. But Sam Ultraman clearly doesn't want to be limited to this: recent US media reports have revealed that he is trying to raise up to $7 trillion in funds - higher than the total market value of Microsoft and Apple - to support the company's semiconductor plan and compete with Nvidia.

In the conversation between Gelsinger and Ultraman, Gelsinger directly asked Ultraman the highly anticipated question: "What do you think of the 7 trillion yuan?"

But Ultraman avoided this question and did not directly answer, saying, "The core of the fact is that we believe the world will need more (chips) for artificial intelligence computing. This will require global investment in many aspects, beyond our imagination. We currently do not have enough data."

He also stated that AI computing is more like energy, with a certain amount of demand at a certain price and less demand at higher prices. "I think everyone underestimates the demand for a large amount of AI computing, which will be a very important and exciting thing for the future," he said

Ultraman emphasized the importance of accelerating the development of artificial intelligence. He believes that artificial intelligence technology will bring a better future to humanity, although he also acknowledges that this process may have negative consequences.

Ultraman said, "We are moving towards a world where artificial intelligence generates more content than humans. So this is not just a good story, but a pure good story."

Developing Chip OEM Business by Utilizing AI Needs

On the day of this event, "AI Shovel" NVIDIA just released a super strong Q4 financial report. The financial report shows that the company's revenue, profit, and guidance for the next quarter exceeded market expectations in the previous quarter, and drove the company's stock price to rise by over 9% after hours.

As an American chip giant, Intel has been struggling in recent years, especially being left behind by Nvidia in the recent wave of AI revolution. During the one-day meeting, Intel announced its plan to catch up with Nvidia. Gelsinger stated that in the current wave of what he calls the "Silicon economy," he will leverage the market's fervent demand for AI chips to regain Intel's market leadership position.

"These microchips enable us to achieve modern economic cycles, which is simply magic," said Gelsinger.

Since taking office, Gelsinger has pushed the company into the chip foundry business and promised to invest $20 billion in building a new factory in Ohio as part of its expansion into the foundry field.

Gelsinger predicts that by 2030, Intel will mainly meet the demand for artificial intelligence chips, making its foundry business the second largest in the world, possibly second only to the current foundry leader TSMC.

"To some extent, the space race is underway," Gelsinger said. "The overall demand for artificial intelligence chips seems to be unmet in the coming years."