Intel Forms New Company, Articul 8 AI, To Focus On AI Software

Intel is a new independent company that will focus on its efforts in AI development (photo: x @intel).

JAKARTA - On Wednesday, January 3, Intel announced the formation of a new independent company that will focus on its efforts in the development of artificial intelligence software (AI). The project garnered support from digital-oriented asset managers, DigitalBridge Group, and a number of other investors.

Intel executives are reluctant to comment on the value of the deal or whether Intel will maintain a majority stake in the new company. They only mentioned that the company will have an independent board of directors, and Intel will remain a shareholder.

This new entity, which will not become an open company and will be called Articul 8 AI (readed by "Articulate AI"), is the result of Intel's cooperation in the company's AI technology which was originally carried out with the Boston Consulting Group (BCG).

Using one of its supercomputers, Intel developed a generating AI system that can read text and images using a combination of open-source technology and internally developed technologies. Intel then modified the system to run at BCG's data center to address BCG's privacy and security concerns.

Arun Subramaniyan, who previously served as vice president and general manager in the data center group and AI Intel, will become the chief executive officer (CEO) Articul8. He stated that many other potential customers have similar concerns about providing their data to large cloud computing companies for AI work.

He also mentioned that potential customers are worried about soaring costs if thousands of their employees start using the system.

"We are really trying to overcome the biggest gap in the current generative AI, namely that building proof of the concept is easy, but bringing things to production and doing it safely and sustainably in terms of cost is completely gone," Subramaniyan said in an interview.

Intel's move to make Articul8 is its latest move in seeking capital from outside parties for its business unit. The chip company previously separated Mobileye Global, a car chip company, and plans to hold an initial public offering (IPO) on programmable chip units.

Selain DigitalBridge, yang ditradasi secara publik dan menjadi investor utama di pusat data, investor lain di Articul8 termasuk Fin Capital, Mindset Ventures, Communitas Capital, GiantLeap Capital, GS Futures, dan Zain Group.