SoftBank had been in discussions with Intel regarding the production of artificial intelligence chips to compete with Nvidia, but has decided against the plan. This is according to sources cited by the FT.
The American manufacturer was unable to meet the Japanese group’s requirements, the newspaper noted. Talks may resume in the future.
Collaboration between SoftBank and Intel could have accelerated the former’s efforts to integrate the operations of its subsidiary Arm with the recently acquired Graphcore to create a competitor to Nvidia’s AI chips, sources believe.
The CEO of the Japanese group, Masayoshi Son, plans to invest billions of dollars to advance the company in the field of artificial intelligence. He aims to encompass chip production, software, and power supply for data centers.
According to SoftBank’s head, in 10 years, artificial intelligence will be 10,000 times smarter than humans. His company aims to help create a superintelligence, Son noted.
Negotiations with Intel fell through before the American company announced the layoff of about 15,000 employees and reported poor financial results in its quarterly report, FT highlighted.
Sources from the newspaper reported that SoftBank is now in talks with the world’s largest chip manufacturer, TSMC. There are no concrete results yet, as the Taiwanese company is focused on meeting the demand from existing clients, including Nvidia.
Earlier, media reported SoftBank’s intention to raise $100 billion to create a company that would complement its AI chip manufacturing division, Arm Holdings.
In August, Intel unveiled its first discrete graphics processor for vehicles, aimed at AI applications.