Intel Targets Nvidia and AMD With New AI Chip

Intel plans to launch AI chip by year-end with lower-cost tech

Intel plans to launch Crescent Island, a GPU using LPDDR5X memory instead of HBM, targeting air-cooled data centers for AI inference workloads at lower cost; data center and AI revenue hit $5.1B in Q1 2026, +22% YoY. For tech managers evaluating inference infrastructure, this signals a viable alternative to Nvidia/AMD stacks that avoids liquid-cooling capex and reduces cost-per-query at scale.