Intel Corp. and 14 Japanese partner companies are teaming up to utilize Sharp’s underused LCD plants in Japan for advanced semiconductor production technology research. This collaboration aims to reduce costs for the alliance and generate much-needed revenue for Sharp. Specifically, Intel will focus on back-end chip production processes like assembly, working alongside suppliers such as Omron, Resonac Holdings, and Murata Machinery at Sharp’s LCD factories. The clean rooms at Sharp will support these new production methods by minimizing particles and dust, crucial for LCD and semiconductor production. This move is in line with Sharp’s strategy of repurposing its display factories for the AI and semiconductor sectors.
Nvidia Corp. is already considering Intel as a potential supplier. Meanwhile, Taiwan Semiconductor Manufacturing Co has been facing supply chain challenges and is looking to raise its prices to take advantage of the AI demand surge. Intel, led by Alexis Crowell, plans to integrate AI capabilities into various products such as computers, edge computing, and software. It aims to enhance its AI chip offering with the Gaudi 3 chip, expecting to generate $500 million in revenue in the latter half of 2024.
Additionally, Super Micro Computer, Inc. has partnered with Foxconn, KDDI, and Sharp to build an AI data center in Japan that will leverage Nvidia’s advanced chips. The collaboration is set to advance the use of AI technology in various industries.
As for stock performance, Intel shares traded down by 1.61% at $30.29 on Thursday. This news indicates significant developments in the semiconductor industry, particularly in terms of research, manufacturing partnerships, and technological advancements. Companies like Intel and Nvidia are strategically positioning themselves to meet the growing demand for AI technology in the market.
In conclusion, the collaboration between Intel, Sharp, and other Japanese partners signifies a step forward in semiconductor research and development. By utilizing Sharp’s resources and expertise, these companies aim to stay competitive in the ever-evolving tech industry. Moreover, the integration of AI capabilities into products and the establishment of AI data centers reflect the growing importance of artificial intelligence in shaping the future of technology. Investors and industry watchers should keep a close eye on these developments as they unfold to gain insights into the changing landscape of the semiconductor market.
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https://www.benzinga.com/amp/content/39207677
