NVIDIA is interested in explore the use of Intel Corp for the production of its chips. This is what the CEO said Jensen Huang on a call with reporters. “They are interested in using their foundries. We are very interested in exploring it, ”said Huang. However he added that discussions with the foundries they take a long time because it comes to integrate supply chains.
NVIDIA interested in Intel Corp for chip manufacturing
Early last year Intelwho was making mostly chips that he designed, he decided to expand its business and also work in chips designed by other companies. This was called the foundry business and, at the time, Intel also announced several multi-billion dollar projects for new manufacturing centers in the United States and Europe.
Shares of Intel rose to 2.5% after Huang’s comments.
Last year, Intel said Qualcomm Inc and Amazon Inc would become customers for its foundry activity.
Following the comments of Huang, the CEO of Intel, Pat Gelsinger, he told Reuters that his company is “excited about their interest in using our foundry capabilities” and said they have “no particular timeline.” He finally confirmed that there are ongoing discussions with NVIDIA.
Currently, Taiwan Semiconductor Manufacturing Co. builds the most NVIDIA chips and Huang said that “being a smelter of the caliber of a TSMC is not for the faint of heart,” adding that it requires a culture change to provide not only processes but also services.
When asked if he would be worried about work with a competitor like IntelHuang said the trust and the cooperation with industry partners is the key to success. He finally concluded by stating that NVIDIA has collaborated with many companies including Intel for a long time and that “Intel has known our secrets for years”.
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