**Introduction**
The recent launch of Intel’s Gaudi 3 AI chip is poised to reshape the semiconductor industry by favoring three global players: TSMC, Alchip, and Wistron. This development is driven by the rising demand for AI chips and Intel’s strategic partnerships with industry giants.
**Gaudi 3: Powerhouse Performance**
Intel’s Gaudi 3 chip, the third generation of its AI accelerators, has set the bar higher in AI performance. It boasts twice the power efficiency and can execute AI models 1.5 times faster than its rival, Nvidia’s H100 GPU. This superior technology has garnered widespread adoption from leading OEMs such as Dell, HPE, Lenovo, and Supermicro.
**Boosting Semiconductor Supply Chain**
The production of Gaudi 3 chips will rely heavily on TSMC, the world-renowned semiconductor foundry. The company will utilize its cutting-edge 5-nanometer process to fabricate Gaudi 3 chips. Alchip, a key player in semiconductor design services, will provide vital support for both Gaudi 2 and Gaudi 3 chips. Wistron, on the other hand, is poised to become the primary supplier of baseboards for the AI accelerator.
**Beneficiaries of Intel’s Surge**
According to industry analysts at Morgan Stanley, TSMC, Alchip, and Wistron stand to reap the greatest benefits from Intel’s Gaudi chip demand. They predict that TSMC could generate up to -3 billion in revenue by 2025. Alchip’s expertise in AI semiconductor design will also translate into significant growth, while Wistron’s involvement in Nvidia’s new Blackwell GB200 AI chip is expected to drive additional growth.
**Analyst Outlook**
Morgan Stanley maintains an optimistic outlook for TSMC and Alchip, recognizing them as long-term winners in the AI semiconductor market. They also favor Wistron due to its strategic partnerships with both Intel and Nvidia.
**Conclusion**
Intel’s Gaudi 3 AI chip has reignited competition in the semiconductor industry. The advent of this advanced technology has unleashed a wave of opportunities for TSMC, Alchip, and Wistron, indicating a shift in market dynamics towards companies specializing in AI chip design and manufacturing.
Data sourced from: cnbc.com
