- Intel returns to GPUs to directly challenge Nvidia's market leadership
- Company plans to produce GPUs in-house for tighter manufacturing control
- Eric Demers joins Intel from Qualcomm as key technical figure in GPU development
Intel CEO Lip-Bu Tan has publicly confirmed that internal work on graphics hardware remains active, directly answering questions about whether the company intends to remain involved in that segment.
Speaking during the recent Cisco AI Summit, Tan said that upcoming products will be built in-house and that Intel's manufacturing arm will also support production at scale.
When asked if Intel is going to build GPUs, Tan said: “I just hired the chief GPU architect and he is very good. I am very delighted that he has joined me and it takes some persuasion.”
Hiring decisions point to renewed technical focus
Tan's comments make it clear that Intel is deliberately expanding beyond its traditional focus on CPUs to challenge Nvidia in the GPU market.
The company does not intend to rely solely on third-party suppliers for these chips and wants tighter control over development and manufacturing.
As part of its efforts to produce GPUs, Intel recently hired Eric Demers, recruited from Qualcomm after more than a decade there.
While Demers is a central technical figure in the renewed graphics effort, broader oversight is said to fall to data center executive Kevork Kechichian, who joined during a restructuring.
The addition of experienced leadership signals Intel's seriousness about entering the high-performance GPU markets, where Nvidia currently dominates both consumer- and AI-focused workloads.
These appointments suggest that the company is attempting to rebuild internal capability rather than simply rebranding previous designs.
Analysts note that Intel's approach could influence Nvidia's strategy, especially as AI tools and accelerators continue to drive demand for specialized graphics hardware.
Intel's renewed GPU push highlights the stakes in the AI and gaming accelerator market, areas in which Nvidia has maintained a strong lead.
GPUs are now critical for gaming and AI workloads, and Intel's internal effort positions it to compete directly in this high-margin segment.
By combining GPU development with in-house manufacturing and leveraging its CPU ecosystem, Intel could offer attractive embedded platforms for enterprise and AI-focused customers.
While the results are uncertain, Tan's hiring choices suggest a sustained and deliberate push rather than a short-term experiment.
Investors and competitors are watching closely, as Intel's entry may put pressure on Nvidia on pricing, product cycles and ecosystem dominance.
Although Intel intends to be a long-term player in the GPU market, execution and performance will determine whether these plans alter competitive dynamics or remain a technical demonstration.
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