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Intel: Supplying Chips for 100 Million AI PCs by 2025

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Intel: Supplying Chips for 100 Million AI PCs by 2025

In pursuit of the technology industry's next growth catalyst, Intel executives announced on February 27th their commitment to supplying core processors for up to 100 million Artificial Intelligence Personal Computers (AI PCs) by 2025.

David Feng, Vice President of Intel's Client Computing Group, anticipates the provision of chips for 40 million "AI PCs" this year, with an expansion to 60 million by 2025, constituting over 20% of the projected global personal computer market in that year. Intel recognizes the evolving landscape of AI personal computers, emphasizing the importance of not only chip performance but also comprehensive services and an enhanced user experience. This underscores the growing significance of collaborations with software and application developers in Intel's business strategy. Feng notes the industry's shift from marketing CPU and GPU performance chips to actively engaging in the sale of experiential solutions, a domain achievable only through strategic partnerships with application developers.

He highlights Intel's ongoing collaboration with Microsoft in defining AI personal computers, featuring three pivotal elements: the Core Ultra PC chipset with an integrated Neural Processing Unit (NPU) designed to proficiently manage AI workloads, Microsoft's AI chatbot, Copilot, and a dedicated "Copilot key" integrated into the keyboard. In light of the potential efficiency gains offered by AI personal computers, a corresponding increase in enterprise spending is anticipated.

Major personal computer manufacturers, with the exception of Apple, have communicated their intentions to launch AI personal computers later this year. Intel, positioned as the global leader in personal computer microprocessor supply with an approximate 76% market share in laptop chips, faces competition from Apple and Qualcomm, both vying for expanded market shares through innovative Arm-based computer designs.

Since the latter half of 2022, the PC industry has undergone a significant inventory adjustment due to the impacts of the Russia-Ukraine conflict and escalating inflation. This adjustment represents a notable departure from the explosive growth observed during the peak of the pandemic-induced work-from-home and remote learning trends.


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