- SoftBank aimed to collaborate with Intel to develop an AI chip to compete with Nvidia.
- The partnership talks with Intel have stalled due to unmet production requirements.
- SoftBank plans to leverage Arm’s advanced CPU designs and Graphcore’s wafer-on-wafer stacking technology.
- Taiwan Semiconductor Manufacturing Co. (TSMC) is being considered as an alternative manufacturing partner.
- The first prototype of SoftBank’s AI chip is expected soon, and direct competition against Nvidia and Intel is anticipated.
Main AI News:
SoftBank Group Corp. recently discussed developing a new AI chip with Intel Corp., aiming to challenge Nvidia Corp. in the AI accelerator market. Although these discussions have stalled, SoftBank remains committed to its multibillion-dollar push into the sector. The Tokyo-based conglomerate, which controls Arm Holdings plc, plans to leverage Arm’s advanced CPU designs alongside technology acquired from Graphcore Ltd., a startup it purchased last year.
SoftBank initially considered Intel as a manufacturing partner, but the deal faltered due to Intel’s inability to meet required production speeds and volumes. Now, SoftBank is exploring other manufacturing options, including Taiwan Semiconductor Manufacturing Co. (TSMC), though no agreement has been reached.
A critical component in SoftBank’s strategy is the wafer-on-wafer stacking technology from Graphcore, which could give its AI chips an edge over Nvidia’s GPUs. SoftBank’s AI processor prototype is expected in the coming months, possibly driven by Arm’s emerging AI chip design unit. These new chips will directly compete with Nvidia’s GPUs and Intel’s expanding AI product line, including the upcoming Falcon Shores, which is set to launch next year.
Conclusion:
SoftBank’s strategic push into the AI chip market signals a significant disruption in the industry, particularly as it seeks to challenge Nvidia’s dominance and Intel’s growing presence. By leveraging Arm’s designs and Graphcore’s innovative technology, SoftBank could introduce a competitive alternative that may alter market dynamics, especially if it successfully secures a reliable manufacturing partner. This move could intensify competition, driving further innovation and potentially reshaping the AI hardware landscape.
