Intel's Habana Starts to Chip Away at Nvidia in Cloud With AWS Deal

Intel in December bought Israel-based artificial intelligence firm Habana, seeking to expand its AI portfolio to bolster its data-centre business.

Advertisement
By Reuters | Updated: 3 December 2020 10:45 IST
Highlights
  • Amazon is seeing growing demand for its cloud tools during coronavirus
  • Gaudi processors will power Amazon Elastic Compute Cloud instances
  • Habana's Gaudi AI training processor has faster processing speed
Intel's Habana Starts to Chip Away at Nvidia in Cloud With AWS Deal

These chips, Intel said, would give 40 percent better price performance than current graphics processing

Intel Corp's Habana Labs business said on Wednesday it would take time to gain market share from Nvida in cloud and data centre computing but its deal this week with Amazon Web Services (AWS) was a solid first step.

Intel in December bought Israel-based artificial intelligence firm Habana for about $2 billion (roughly Rs. 14,700 crores), seeking to expand its AI portfolio to bolster its data-centre business.

Habana's Gaudi AI training processor, launched in June 2019, has faster processing speeds to compete with similar products from Intel rival Nvidia.

"We have to realise that we're starting from zero and Nvidia is 100 percent," said Eitan Medina, Habana's chief business officer, who said that having AWS as its first customer was very important.

"The uphill battle or the process of taking market share has to go through convincing end developers to try it out," he told reporters. "We are making the dent at the most important place. We're starting with a very big guy that has the longest experience ... It will take time but I believe we're on the right path."

Advertisement

Medina declined to comment on whether Habana was negotiating other deals.

Habana on Tuesday said its Gaudi processors will power AWS's Amazon Elastic Compute Cloud "instances" for machine learning workloads, in Habana's first deal for its Gaudi chips.

Advertisement

Amazon is seeing growing demand for its cloud tools during the coronavirus pandemic. These chips, Intel said, would give 40 percent better price performance than current graphics processing.

Medina said that the advantages of Gaudi AI chips were efficiency and allowing for lower capital and operating expenses that in turn could give AWS and others the ability to lower prices for customers for server time.

Advertisement

"We are now starting so it will depend on the combination of how we will execute and how important is it for users to lower their cost and to have alternatives to GPUs (graphics processing units)," Medina said. "Our total available market is 100 percent of AI."

© Thomson Reuters 2020


iPhone 12 Pro Series Is Amazing, but Why Is It So Expensive in India? We discussed this on Orbital, our weekly technology podcast, which you can subscribe to via Apple Podcasts, Google Podcasts, or RSS, download the episode, or just hit the play button below.

Affiliate links may be automatically generated - see our ethics statement for details.
 

For the latest tech news and reviews, follow Gadgets 360 on X, Facebook, WhatsApp, Threads and Google News. For the latest videos on gadgets and tech, subscribe to our YouTube channel. If you want to know everything about top influencers, follow our in-house Who'sThat360 on Instagram and YouTube.

Further reading: Intel, Habana, Amazon Web Services, Nvidia
Advertisement

Related Stories

Popular Mobile Brands
  1. Nothing Phone 3 Price, Colour Options Tipped Ahead of Global Debut
  2. Realme C71 With 6,300mAh Battery Goes Official: Price, Specifications
  3. Samsung Galaxy Z Fold 7 Spotted on WPC Database With Qi2 Charging Support
  4. Google Pixel 10 Series Reportedly Set to Launch on August 20
  5. Vivo Y19s Pro With 6,000mAh Battery, 50-Megapixel Main Camera Launched
  6. Meta Aiming to Fully Automate Advertising With AI by 2026: Report
  7. Microsoft Bing Is Letting You Generate AI Videos Using Sora for Free
  8. Samsung Galaxy Ring 2 Said to Be in Development, but 2025 Launch Unlikely
  1. Hi-Fi Rush Developer Tango Gameworks Announces Rebrand, Begins Hiring for New Action Game
  2. ISRO Successfully Tests SE2000 Engine for Next-Gen LVM3 Rocket Upgrade
  3. Japan’s Resilience Lander to Touch Down on the Moon on June 5: What You Need to Know
  4. 1,350-Year-Old Burial Reveals ‘Ice Prince’ Toddler Laid to Rest With Sword and Silk Robes
  5. Padakkalam OTT Release Date: When and Where to Watch Malayalam Supernatural Comedy Online?
  6. iPhone 17, iPhone 17 Air to Debut Without ProMotion Display Features, Tipster Claims
  7. OpenAI's Plans for All-Knowing ChatGPT Super Assistant Revealed in Internal Document
  8. Flagship India EV Policy Is a ‘Non-Starter’ for Global Firms
  9. Samsung Galaxy S25 Ultra Price in India Temporarily Cut by Rs. 12,000: Specifications, Features
  10. Elden Ring Nightreign Sells 3.5 Million Copies as FromSoftware Confirms Duos Mode Is on the Way
Gadgets 360 is available in
Download Our Apps
Available in Hindi
© Copyright Red Pixels Ventures Limited 2025. All rights reserved.