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Nvidia considers chip production cooperation with Intel-Information Technology

Friday, March 25, 2022 06:15 AM (GMT+7)

Intel’s expansion of operations and production of chips designed by other corporations in 2021 has attracted many players in the industry, including competitor Nvidia.

Nvidia considers chip production cooperation with Intel - 1

Nvidia is currently considering the option to cooperate and assign Intel to produce chips for itself, according to Nvidia CEO Jensen Huang. However, Mr. Huang also said that negotiating the use of chip factories will take a long time, due to the complexity of the supply chain integration process.

On Intel’s side, CEO Pat Gelsinger told Reuters the company was “excited by the interest.” [của Nvidia] in leveraging Intel’s chip manufacturing capabilities” and confirmed it is in discussions with Nvidia, but has not given a specific schedule.

In early 2021, Intel decided to expand its business into making chips designed by other companies instead of just making chips designed by Intel itself. This group has announced many projects of chip production centers worth billions of dollars located in the US and some European countries.

In 2021, Intel also announced that Qualcomm and Amazon will become customers of chip manufacturing.

At the moment, most of Nvidia’s chips are being manufactured by TSMC. Nvidia CEO Jensen Huang said that to become a chip manufacturing corporation on the scale of TSMC, it will take a big cultural change to provide customers not only with the chip making process but also with a variety of other services.

When asked if Nvidia had any concerns about partnering with a competitor like Intel, Mr. Huang said that trust and cooperation with industry partners is key. According to Mr. Huang, “Intel already knows the secrets of [Nvidia] for many years.”

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