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Microsoft is the newest Intel 18A foundry chips customer
Intel will fuel Microsoft’s ongoing AI efforts with a reliable chip supply chain in the U.S.
2 min. read
Published onFebruary 27, 2024
published onFebruary 27, 2024
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Microsoft’s AI business is growing by the day and we know that now, they are making their own chips,Maia 100 and Cobalt 100, infused with artificial intelligence. However, they need a solid supply of foundry chips for their core cloud AI business, and for this, they will rely on Intel.
During theIFS Connect 2024, Intel announced that they strive to become the no. 2 foundry chips supplier by 2030 and that Microsoft’s Satya Nadella has become their latest 18A chips customer.
What does the Microsoft Intel deal means?
Right now, 80% of semiconductors come from Asia and it seems somehow insane to imagine that a western maker can take against that kind of power but with Microsoft as a client, Intel can get just the right pair of wings to make it.
Satya Nadella was invited to make a brief tele speech and it emphasized the need for a strong foundry chips supply chain in the U.S.:
All of us at Microsoft are committed to supporting Intel’s efforts to build a strong supply chain right here in the United States.
Intel’s A18 chips were specially designed for AI processes and engines. As relationships with Asia are going South due to the recent tensions, Microsoft is ensuring a stable ground for its growing business.
This is only the beginning for Intel because the demand for AI data centers from other big companies like Google, Amazon, and X has grown exponentially. Microsoft’s deal is certainly a sign for the other competitors to jump in and pick up the pace as well.
On this stage, the Microsoft deal with Intel seems like the reasonable thing to do as long as the chip maker will build a steady supply and commitment. And that is not all, because Intel also teamed up with ARM to hold against Nvidia’s stormy evolution in the latest period.
How much is Microsoft relying on Intel’s chips? No figures were stipulated during the conference so that’s still a mystery, but we will find out soon enough.
What do you think about the Microsoft Intel deal for foundry chips? Let’s talk about that in the comments section below.
More about the topics:AI,intel,microsoft
Claudiu Andone
Windows Toubleshooting Expert
Oldtimer in the tech and science press, Claudiu is focused on whatever comes new from Microsoft.
His abrupt interest in computers started when he saw the first Home Computer as a kid. However, his passion for Windows and everything related became obvious when he became a sys admin in a computer science high school.
With 14 years of experience in writing about everything there is to know about science and technology, Claudiu also likes rock music, chilling in the garden, and Star Wars. May the force be with you, always!
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Claudiu Andone
Windows Toubleshooting Expert
Oldtimer in the tech and science press, with 14 years of experience in writing on everything there is to know about science, technology, and Microsoft
