New Intel co-CEO confirms the company is not exiting the graphics card market

Skye Jacobs

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What just happened? Intel's new co-CEO Michelle Johnston Holthaus firmly dispelled rumors about the company's exit from the discrete graphics market during her keynote address at CES 2025. This announcement comes on the heels of controversial comments made by former CEO Pat Gelsinger, who was ousted from the tech giant last month.

During her presentation, Holthaus emphatically stated, "We are very committed to the discrete graphics market and will continue to make strategic investments in this direction." This declaration directly contradicts Gelsinger's previous remarks in November, which suggested a diminishing need for discrete graphics investments. Specifically, he said during the company's earnings call that Intel's focus on graphics will increasingly become "large integrated graphics capabilities," which the market took to mean that it would build graphics into CPUs, not gaming graphics cards.

The reassurance from its new leadership that Intel is still committed to the graphics market comes at a critical time for the company. Despite recent challenges, including the perceived financial failure of the Lunar Lake laptop processors, Intel's silver lining has been in the graphics card market. The company recently celebrated its first major success with the Intel Arc B580 graphics card, which sold out rapidly in most markets.

However, industry analysts remain cautious about Intel's long-term strategy. Some speculate that Holthaus' upbeat tone might be masking a more gradual retreat from the discrete graphics space. The company's focus may be shifting towards AI-centric developments, mirroring recent trends set by competitors AMD and Nvidia.

Nevertheless, Intel is pushing forward with its graphics card lineup. Holthaus announced the imminent launch of the B570 GPU, an even more budget-friendly option than the popular B580.

It should be noted, though, that while the Arc B580 has garnered positive reviews, it's not without its challenges. Users have reported significant performance issues when pairing the card with CPUs older than five years, resulting in stuttering and low frame rates in many games. This problem isn't limited to older Intel processors; similar issues have been observed with AMD's Ryzen 5 2600X.

Meanwhile, the upcoming B570 model is garnering attention from tech enthusiasts. While both cards share the same architectural lineage, they cater to different segments of the market with distinct specifications and price points.

The Arc B580 has 12GB of GDDR6 memory, positioning it as a capable contender for high-performance gaming at 1440p with ultra-quality settings. This memory configuration gives it an edge in handling memory-intensive tasks and games, especially at higher resolutions.

In contrast, the soon-to-be-released B570 is set to feature 10GB of dedicated GPU memory. This 2GB reduction in VRAM might impact its performance in certain scenarios, particularly in applications or games that demand substantial memory resources. While Intel has yet to release specific performance metrics for the B570, industry experts anticipate it will be tailored more towards 1080p gaming performance.

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Intel is late to the game as usual with AI, but life teaches that failures are often opportunities.

For example, instead of chasing fads unsuccessfully for machine learning money, Intel could devote themselves to filling the voids left by competitors in the most cost effective way possible for a while.

Build momentum on the back foot, see what happens, that's what smart people do. Rally.

This is Intel we're talking about though, they'll throw themselves at the wall while shareholders cheer them on. Keep making these GPUs Intel, they transcode video very well.
 
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This is Intel we're talking about though, they'll throw themselves at the wall while shareholders cheer them on. Keep making these GPUs Intel, they transcode video very well.

Unironically, yeah, they do. This is the one their their GPUs - discrete or otherwise - are legitimately the best at. I am hoping that Plex adds official support for their A- and B- series GPUs sooner or later.
 
Unironically, yeah, they do. This is the one their their GPUs - discrete or otherwise - are legitimately the best at. I am hoping that Plex adds official support for their A- and B- series GPUs sooner or later.

Agreed, the sheer efficiency of Xe is exceptional and to my eyes, the transcode quality is great.
 
TSMC in the Rear mirror all over again...

Intel is late to the game as usual with AI, but life teaches that failures are often opportunities.

For example, instead of chasing fads unsuccessfully for machine learning money, Intel could devote themselves to filling the voids left by competitors in the most cost effective way possible for a while.

Build momentum on the back foot, see what happens, that's what smart people do. Rally.

This is Intel we're talking about though, they'll throw themselves at the wall while shareholders cheer them on. Keep making these GPUs Intel, they transcode video very well.

In this case, it's just billions going down the drain with no return. Next question.
 
For god's sake just release the B770 with 4070 TI Super levels of performance at $400 and it'll be an even bigger hit than the B580.
 
Agreed, the sheer efficiency of Xe is exceptional and to my eyes, the transcode quality is great.

Transcoding is transcoding. Yes, they maybe be able to do it more efficiently or faster, but there is no "quality". It's digital, either it is or it isn't. There are no varying degrees.
 
Then they're just as stupid as the last two CEO's. Their cards are trash and their software support is worse than AMD. There has never been a bigger money pit in all of history. They're literally throwing money away for absolutely nothing.
 
It seemed clear to me from the start that PG was referring to laptop discrete GPUs. You now see announcements of gaming laptops pairing Arrow Lake HX CPUs with NVDA's 50xx laptop GPUs.

Panther Lake's integrated Celestial GPU will reportedly increase to 12 cores (from 8 on Lunar Lake), so this is obviously what PG had in mind.
 
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