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Intel launches new chip to power Chinese carmakers’ advanced in-vehicle AI initiatives

Intel has launched a new graphics processing unit (GPU) for cars in mainland China, as the US chip giant doubles down on the world’s largest electric vehicle market amid its slumping growth and intense competition in advanced semiconductors.
The company’s new Arc Graphics for Automotive discrete GPU, designed to power in-car artificial intelligence (AI) capabilities, will be commercially deployed in the cockpit of vehicles as soon as next year, the company announced at the product launch in Shenzhen on Thursday.

“China’s rapid electric vehicle development cycles and advanced technological adoption make it an ideal testing ground for our next-generation technologies,” Jack Weast, vice-president and general manager of Intel Automotive, said in a statement released for the event.

The new chip, part of Intel’s Arc Series discrete GPUs that were first launched in 2022 for video gaming laptops, will allow users to “run full large language models (LLMs) inside the car” and “triple A gaming experiences”, as well as run generative AI applications locally in a car instead of on the cloud, Weast said during the launch. LLMs are the technology underpinning generative AI services like ChatGPT.
Intel is offering carmakers in mainland China a single platform to unlock a new era of artificial intelligence-driven in-vehicle experiences. Photo: Shutterstock
Intel’s entry into automotive discrete GPUs reflects growing demand for compute power in increasingly sophisticated vehicle cockpits, as US semiconductor rivals Nvidia and Advanced Micro Devices ramp up their efforts in the auto chip market segment.

This initiative by Intel followed its decision to move the headquarters of Intel Automotive to mainland China and Weast relocating to Beijing, the unit’s general manager told local media in a media briefing in April.

In a January announcement, Intel said it was aiming to “bring AI PC experience to the car”.

Intel is also seeking to deepen ties with China, despite intense pressure from Washington for semiconductor firms to restrict trade with the world’s second-largest economy.

Intel is seeking to deepen ties with mainland China, despite growing tensions between Washington and Beijing. Photo: Shutterstock
In July last year, the Santa Clara, California-based company and the Nanshan district government in Shenzhen jointly launched the Intel Greater Bay Area Innovation Centre focused on technologies including AI and edge computing.
The chip giant is also grappling with disappointing financial results that have sunk its shares by nearly 60 per cent this year. The company said last week that it would lay off more than 15 per cent of its workforce, some 17,500 people, and suspend its dividend starting in the fourth quarter as part of cost-cutting measures.

The lay-offs are “global”, Intel told Chinese news outlet Jiemian when the firm was asked whether it would affect employees on the mainland. Intel did not immediately respond to a request for comment on Friday.


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