Intel is pursuing a three-track AI strategy

Intel and Nvidia team up in AI data center.

October 20, 2025

Jon Peddie

Intel is telling a three-chapter story. First, Crescent Island arrives as a memory-rich inference GPU (160GB LPDDR5X) aimed at tokens-at-scale services. Second, Celestial desktop GPUs debut the Xe3 design with more cores and bigger caches, pushing smoother frames and faster creator workflows. Third, a rack-scale twist pairs Gaudi 3 (decode) with Nvidia B200 (prefill) over ConnectX-7, yielding ~1.7× better perf/TCO on small dense models. Wrapped around it: fresh capital (US $8.9B, Nvidia $5B) and a joint CPU-GPU SoC plan to widen Intel’s AI playbook. “I am thrilled to announce a deep collaboration with my good friend Jensen Huang and the

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Intel is pursuing a three-track AI strategy

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