Intel CEO Warns AI Hardware Shortage Will Last Another 3 Years

Lip-Bu Tan, Intel's CEO, believes the AI industry will continue to face a hardware shortage over the next two to three years.

Lippo Tan, CEO of Intel, believes that the artificial intelligence industry will continue to face hardware shortages in the next two to three years.

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Lippo Tan, the CEO of Intel, believes that the artificial intelligence industry will continue to face hardware shortages in the next two to three years. He made these comments at a conference hosted by DBS Bank in Singapore, where he discussed the most important needs of artificial intelligence and his expectations for quantum computing. Tan is an executive familiar with the latest technological developments in the industry and oversees several fast-growing areas, including next-generation chip manufacturing technologies and the materials used in the process.

The growth in the use of agent-based artificial intelligence (AI) has increased the demand for central processing units (CPUs) compared to graphics processing units (GPUs), helping your laptop lead the way for Intel's revival. For example, in the second quarter of the year, the revenue of the data centers and artificial intelligence department of this company increased by 59% compared to the same period of the previous year.

Tan also mentioned this change in Intel's second quarter financial report. He explained that with the expansion of the role of agent-based AI, the ratio of GPUs needed compared to CPUs to train AI models has dropped from 8 to 1 to 4 to 1.

At an event hosted by DBS Bank in Singapore on October 12, Intel's CEO shared more views on artificial intelligence, key trends in the field, and other areas such as quantum computing. Tan first discussed artificial intelligence and explained that the hardware required for this technology will continue to be in short supply in the next two to three years; Because the technology supply chain is struggling with constant constraints.

The comments come as shortages of key components, including memory chips, have continued to drive up prices over the past months. Meanwhile, technologies such as TSMC's advanced chip packaging have also faced capacity constraints.

The CEO of Intel also talked about advanced models of artificial intelligence, open source software and quantum computing. Referring to China's advanced artificial intelligence models, Tan said that the cost of using these models is much lower based on the number of tokens. He added that due to the low cost of tokens, the performance of these models is satisfactory.

Tan also discussed investing in the field of artificial intelligence and explained that the required capital is not the only main limitation in the development of the infrastructure of this technology. According to him, proving return on investment (ROI) in the long term is also essential to maintain investors' interest.

In the field of quantum computing, Tan remains optimistic. He stated that he believed that quantum computing could enter the mainstream of technology within the next three to five years.

Intel's CEO has significant investments in the quantum computing industry. Late last month, he announced his top investments in this area through his venture capital firm. Tan also explained that finding the right application for quantum computing will be a key factor in making the technology more widespread.

I have been writing professionally in the field of technology since 2016, and my main focus is on hardware, digital market and consumer products analysis. During these years, I have tried to move beyond the mere introduction of products, and with an analytical approach, I have examined market trends, brand strategy, and the real value of each product for the Iranian user. My interest in technology is not only limited to technical specifications; For me, every product is a story of engineering decisions, business competition and user experience. From covering news and developments in the industry to compiling buying guides and analyzing daily market prices, I try to provide accurate, up-to-date and practical information so that the audience can make a more informed decision. I believe that technology journalism is not just news transmission; Rather, it is the translation of the complex world of technology into a clear, understandable and reliable language for the audience.