Intel's Habana Starts to Chip Away at Nvidia in Cloud With AWS Deal

Intel Corp’s Habana Labs business said on Wednesday it would take time to gain market share from Nvida in cloud and data centre computing but its deal this week with Amazon Web Services (AWS) was a solid first step.
Intel in December bought Israel-based artificial intelligence firm Habana for about $2 billion (roughly Rs. 14,700 crores), seeking to expand its AI portfolio to bolster its data-centre business.
Habana’s Gaudi AI training processor, launched in June 2019, has faster processing speeds to compete with similar products from Intel rival Nvidia.
“We have to realise that we’re starting from zero and Nvidia is 100 percent,” said Eitan Medina, Habana’s chief business officer, who said that having AWS as its first customer was very important.
“The uphill battle or the process of taking market share has to go through convincing end developers to try it out,” he told reporters. “We are making the dent at the most important place. We’re starting with a very big guy that has the longest experience … It will take time but I believe we’re on the right path.”
Medina declined to comment on whether Habana was negotiating other deals.


