This decision underscores the high demand in the semiconductor industry for FPGAs, which are simpler but often more flexible and power-efficient than the processors used in servers and PCs. These chips are programmed after shipping for specific uses and can also run some artificial intelligence algorithms. Intel has not yet disclosed PSG sales, but reported in July that the unit had three consecutive record quarters, helping to counterbalance a decline in server chip sales.
Key takeaways:
- Intel plans to treat its programmable chip unit as a standalone business, with the intention of spinning it out through an IPO in the next two to three years.
- The company's Programmable Solutions Group will have its own balance sheet and Intel will continue to support the business and retain a majority stake.
- Sandra Rivera, who leads Intel's broader Data Center and AI group, will become the CEO of the Programmable Solutions Group.
- The decision underscores the high demand in the semiconductor industry for field programmable gate arrays (FPGAs), which are simpler but more flexible and power-efficient than powerful processors.