Microsoft, Intel Partner new deal with Nvidia to sustain gaming GPUs

There has been speculation that Nvidia could end its decade-long run of manufacturing graphics cards suitable for gamers. The recent announcement suggests that they are far from quitting. Microsoft and Intel joined a partnership with Nvidia with a landmark deal, which could keep the manufacturer in the graphics card market. 

During Intel’s Foundry event, Microsoft and Intel announced a big partnership with Nvidia to the tune of $15 billion to see the former manufacture gaming chips for the latter. This is big news for gamers who know the versatility of Nvidia graphics cards. 

The major highlight of the deal is that Nvidia would use Intel’s 18A process to streamline the process which appears to align with CEO Pat Gelsinger’s new go-forward strategy. While this remains in the plan for Microsoft, Bloomberg recently reported that Microsoft could be planning designs equipped with AI accelerators and processors. It is looking like it is an in-house plan. It's no news that Intel has been making chips for Microsoft in the past, but this kind of land-breaking deal could shake up the AI market and graphics card market. 

Nvidia has since been moving away from graphics card development to face its lucrative AI technology, which has propelled it to the third most valuable US company in recent times. This kind of move back to graphics card development could be belittling Nvidia, but this collaboration between competitors could challenge that, which could signal Nvidia’s comeback to the gaming market. 

Nvidia wants to do more than GPU for gamers

Everyone wants a piece of the pie. There is no doubt that Nvidia controls about 80% of the high-end AI chip market, which is why most tech giants like OpenAI, Alphabet, and Intel want to bag a chipset deal with Nvidia. 

According to a recent report by Techradar, Nvidia could shake up space in the custom chip market, which aligns perfectly with the planned deals with Microsoft and Intel. The graphics card giant has released a lot of RTX series to the market, but it only refreshed its RTX 4000 series with the 4000 super series. They’ve have not been any plan to launch a 5000 series, but with these announcements, gamers are likely to enjoy a new series powered by AI. 

There are more gains for Nvidia if they return to making graphics cards since they are already making massive moves with their generative AI features. Hopefully, we will get a complete detail about this move in the coming weeks.