Nvidia could continue making gaming GPUs thanks to Microsoft and Intel’s new deal
For those concerned about Nvidia’s eventual exit from the graphics card market, the partnership between Microsoft and Intel could still keep the manufacturer of the most popular cards in the game – which is great news for gamers.
Microsoft and Intel announced a groundbreaking deal during the Intel Foundry event where the latter would manufacture custom chips for the former. According to Intel, the deal is worth $15 billion and will be used Intel’s 18A process which seems to be in line with CEO Pat Gelsinger’s go-forward strategy.
Although the type of chips has not yet been revealed, Bloomberg reported that Microsoft is planning internal designs for processors and AI accelerators. This is important because if Intel makes these types of chips for Microsoft, it could shake up the AI market, as well as the processor and even graphics card markets.
This would be especially devastating for Nvidia, which seems less interested in developing graphics cards than in the lucrative AI technology that has propelled Nvidia to the top. trillion dollar value sign and made it third most valuable US company. However, a collaboration between its competitors could challenge this, leading to Nvidia returning to the market that made its name.
Nvidia’s possible GPU return can only help gamers
Nvidia currently controls about 80% of the high-end AI chip market, which is most likely why tech giants like Microsoft, OpenAI, Alphabet, and Intel are scrambling to secure chips in the generative AI sector. According to a recent reportNvidia may also enter the custom chip market, which is perfect timing for the planned collaboration between Microsoft and Intel.
Considering that Nvidia only updated its RTX 4000 series graphics cards with the 4000 Super series and that the 5000 series is still relegated to the rumor mill for now, these announcements and reports could serve as the motivating force for Nvidia to fully return to cardmaking.
Nvidia could have its graphics pie and eat AI too if it decides to integrate some AI into the upcoming 5000 series. Of course, we don’t have the full story yet, but it will be interesting to see how this unfolds.
And more competition between tech giants can only benefit average consumers, especially gamers who could get even better graphics cards from Nvidia in the long run.