Intel Graphics Chip Will Faucet New Variation of TSMC 7-Nanometer System – Resources | Investing Information

(Reuters) – Intel Corp programs to tap Taiwan Semiconductor Manufacturing Co to make a second era discrete graphics chip for personal pcs that it hopes will aid it overcome the rise of Nvidia Corp, two resources familiar with the matter explained to Reuters.

The chip, known as “DG2”, will be built on a new chipmaking process at TSMC that has not nonetheless been formally named but is an increased version of its 7-nanometer system, the two people common the issue mentioned.

Intel, long the globe leader in chip-making know-how, has missing its producing edge in current a long time and is now debating whether to outsource some of it flagship central processor unit chips, or CPUs, slated for launch in 2023.

Activist investor 3rd Stage LLC last month despatched Intel’s board a letter asking it to take into account irrespective of whether to maintain its chip design and style and production operations underneath 1 roof.

Intel has extensive outsourced chips other than its flagship CPUs and is a significant client of TSMC, the world’s leading agreement chip manufacturer. The head of Intel’s self-driving subsidiary Mobileye final thirty day period advised Reuters that its upcoming autonomous automobile processor will be go on to be made by TSMC on its 7-nanometer process.

With its graphics chips, Intel is searching to faucet into the booming Personal computer gaming market place. Its DG2 chip is anticipated to be launched late this calendar year or in early 2022 and compete with Nvidia and AMD gaming chips that value among $400 and $600, the resources explained.

The chip manufacturing technological innovation for the DG2 is anticipated to be additional superior than the Samsung Electronics Co Ltd 8-nanometer procedure employed in Nvidia’s most modern spherical of graphics chips introduced in the tumble, the individuals claimed. They included it would also have a leg up on the Innovative Micro Equipment graphics chips designed on TSMC’s 7-nanometer method.

Intel declined to comment and TSMC claimed it does not comment on personal prospects.

Intel officers final yr claimed that it would outsource the DG2 chip but did not say which chip maker experienced received the small business or which chipmaking process it would use.

(Corrects date in dateline)

(Reporting by Stephen Nellis in San Francisco Modifying by Jonathan Weber and Jane Wardell)

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