Santa Clara, California – In the tech battle for dominance in the artificial intelligence (AI) market, Intel (NASDAQ:INTC) is stepping up its game against Nvidia (NASDAQ:NVDA). Intel recently unveiled its new Gaudi 3 accelerator, designed to propel AI systems forward with increased power and efficiency. This development has garnered positive attention from shareholders, reflected in a slight increase in Intel’s share prices during Tuesday’s trading session.
The Gaudi 3 accelerator showcased at Intel’s Vision 2024 conference boasts impressive capabilities, including Ethernet connectivity that enables the connection of thousands of accelerators. Intel’s direct comparison of Gaudi 3 to Nvidia’s chips revealed significant advantages, with the former offering 50% better inference on average and a 40% improvement in power efficiency over Nvidia’s H100. Additionally, the Gaudi 3 stands out as a cost-effective option for future AI implementations.
Despite the promising advancements, Intel has encountered a setback concerning its latest chips’ compatibility with Unreal Engine games, a popular choice among gamers. The company is actively investigating this issue, with Epic Games advising owners of Intel i913900K and i914900K processors to adjust their BIOS settings to address the problem.
Analysts on Wall Street currently hold a Hold consensus rating on INTC stock, citing five Buy recommendations, 24 Holds, and four Sells within the last three months. Following an 18.54% increase in Intel’s share price over the past year, the average price target of $45.05 per share implies an 18.4% potential upside. Investors and industry experts alike are closely watching Intel’s moves in the competitive tech landscape, particularly as it strives to make a mark in the AI sector with its latest innovations.