Intel is paying $2 billion to buy an Israeli startup that specializes in processing chips for artificial intelligence.
The California-based chipmaker said Monday that the purchase will help it speed up computing power and improve efficiency at data centers.
“This acquisition advances our AI strategy, which is to provide customers with solutions to fit every performance need – from the intelligent edge to the data center,” said Navin Shenoy, executive vice president and general manager of the Data Platforms Group at Intel. “More specifically, Habana turbo-charges our AI offerings for the data center with a high-performance training processor family and a standards-based programming environment to address evolving AI workloads.”
The move is part of Intel’s broader strategy to strengthen its AI business. The company expects AI services will generate more than $3.5 billion in revenue this year, an increase of more than 20% from last year.
“We know that customers are looking for ease of programmability with purpose-built AI solutions, as well as superior, scalable performance on a wide variety of workloads and neural network topologies. That’s why we’re thrilled to have an AI team of Habana’s caliber with a proven track record of execution joining Intel. Our combined IP and expertise will deliver unmatched computing performance and efficiency for AI workloads in the data center.”
Habana, founded in 2016, will remain an independent business led by its current management team in Caesaria, Israel, according to Intel. The startup’s first processing chip, the Goya, is commercially available. Its second was announced earlier this year.