Intel Corp. (INTC) and Amazon Web Services (AWS), a subsidiary of Amazon.com (NASDAQ: AMZN), announced a significant expansion of their strategic collaboration with a multimillion-dollar investment for the development of custom chips. This multi-year agreement aims to boost the performance of artificial intelligence (AI) applications and enhance processing capabilities for various workloads.
As part of this collaboration, Intel will manufacture a specialized chip for AWS using its most advanced process node, Intel 18A. Additionally, it will produce a custom Xeon 6 chip on Intel 3, as part of their existing relationship where Intel already provides scalable Xeon processors for AWS.
Innovation for the Future of AI
Pat Gelsinger, CEO of Intel, emphasized the importance of this partnership. “This expansion of our relationship with AWS reflects the strength of our technology and provides innovative solutions for our customers’ workloads. Intel’s design and manufacturing capabilities, combined with AWS services, will drive innovation across our ecosystem and support a sustainable AI supply chain in the United States,” Gelsinger stated.
Matt Garman, CEO of AWS, highlighted the company’s commitment to providing the most advanced cloud infrastructure. “Developing next-generation AI structure chips on Intel 18A jointly enables us to continue our long-standing collaboration. This partnership gives our customers the ability to run any workload and unlock new possibilities in the field of AI,” Garman commented.
Boosting Manufacturing in the United States
One of the key points of this collaboration is the joint commitment to accelerate semiconductor manufacturing in the United States, especially in Ohio. Intel reaffirmed its commitment to constructing an advanced semiconductor plant in New Albany, while AWS plans to invest $7.8 billion to expand its operations in the data center in Ohio, adding to the $10.3 billion it has invested in the state since 2015.
Ohio Governor Mike DeWine praised the expansion of this partnership. “This agreement between Intel and AWS solidifies Ohio as a leader in artificial intelligence and tech manufacturing. It promotes both companies’ dedication to job creation and industrial development in our state,” DeWine stated.
A History of Collaboration and Growth
The relationship between AWS and Intel spans over 18 years, working together to help organizations of all sizes efficiently develop and manage their workloads in the cloud. Over the years, this collaboration has led to cost reduction, improved security, and accelerated business outcomes. In the future, both companies plan to explore new production opportunities in advanced nodes such as Intel 18A, Intel 18AP, and Intel 14A, with manufacturing plans at Intel facilities in Ohio.
With this expansion, Intel and AWS reinforce their commitment to cloud innovation and semiconductor manufacturing, reaffirming their roles as leaders in the tech industry and paving the way for new AI-based solutions.