"Several years ago, we began a transformation to reposition the company to take advantage of the data revolution that is reshaping computing," CEO Bob Swan said in the earnings call. "We are accelerating growth by expanding the capabilities of our workload-optimized platforms and playing a larger role in our customers' success. Demand for our Intel Xeon Scalable processors is very strong as customers continue to make Xeon the foundation for their AI-infused data center workloads."
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"In 2019, Intel expects to generate over $3.5 billion in AI-driven revenue, up more than 20 percent year-over-year. "
"Intel’s collection of data-centric businesses achieved record revenue in the fourth quarter, led by record Data Center Group (DCG) revenue. DCG revenue grew 19 percent YoY in the fourth quarter, driven by robust demand from cloud service provider customers and a continued strong mix of high-performance 2nd-Generation Intel Xeon Scalable processors. Intel acquired Habana Labs in the fourth quarter, strengthening its artificial intelligence portfolio for the data center. "
Intel Reports Fourth Quarter 2019 Financial Results
SANTA CLARA, Calif., January 23, 2020 — Intel Corporation today reported fourth-quarter and full-year 2019 financial results. The company also announced that its board of directors approved a five percent cash […]www.hpcwire.com
Seems pretty clear to me.
Intel has started to do some interesting things in how they group and report numbers under a new "data-centric" model which (tbh) I'm still trying to figure out. How they got to the $3.5B estimate ($3.8B actual) is a bit of a mystery to me as they have dedicated AI products which obviously must count in there but those products I don't believe are anywhere near enough to reach that number. So do they count all Xeon scalable sales as an AI sale? How do they distinguish the Xeon scalable sales for non AI HPC workloads different than AI workloads? Even if they know the sale is for an AI server, how do they know the server is even using those extensions? It seems to me that Intel is wanting to make their presence in AI seem much bigger than it is by counting everything with DL extensions as an AI sale, whether the customer actually intends to use them or not.
In a more straight forward view, the data center group's growth was mainly driven by cloud customers (up 48% Y/Y), enterprise (& Gov) was down 7% Y/Y.