According to reports, Intel Corporation (NASDAQ:INTC) has announced that it intends to form a separate Artificial Intelligence business unit, which is going to be led by Naveen Rao- the former Nervana CEO. Last summer Intel, was said to have acquired Nervana and its “Artificial Intelligence deep-learning suite of solutions” for $408 million, and also tagged its then CEO Naveen along for the fruitful ride.
Intel’s sudden transition was from dependence on PC chips sales, is owing to newer and fast growing technology, which includes Internet of Things (IOT) and cloud.
Hence, one of the biggest opportunities within the “cloud-based IoT shift” is expected to be in data analytics, which requires an in-depth and Artificial Intelligence (AI) features that Intel is looking at providing for its consumers.
Following these recent development and shifts to IOT, its being speculated that there will be a major increase in IOT devices in the world in years to come. As its responsible for smartness in smart cities, homes and cars. The LOT devices will certainly generate and incredible amount of data, but for distinct values to be extracted from the data, effective tools need to be put in place to analyze all the data. The need for effective tools for analysis is where Intel will require the services of its Artificial Intelligence unit.
Following the trend of new technology and the fast growing business opportunities surrounding novel technology, a senior Intel exec stated that ‘the artificial intelligence systems that provides the processing power to analyze IoT data, could limit the opportunity the cloud represents.”
Moreover, Intel’s aggressive expansion into fast-growing market of newer technology including cloud data centers, virtual reality (VR), and drones is reported to have been a major point of focus for the CEO Brian Krzanich’s transition plans. With this new expansion focus at hand, the company is making another major shift towards the Internet of Thing (IOT), followed with other shifts to newer technology.
However, Intel’s latest attempt to an ‘AI-centric focus’ could be another good move to the right direction, as it continues to transform.