Intel’s Delay Is Proving To Be Nvidia, AMD’s Gain

Reuters reports that the U.S. Department of Energy is nearing a deal to buy a supercomputer made with NVIDIA Corp (NASDAQ:NVDA) and Advanced Micro Devices Inc (NASDAQ:AMD) chips due to a delay from Intel Corp’s (NASDAQ:INTC).
A key lab is waiting for a larger supercomputer from Intel that got delayed. Intel’s supercomputer for the Argonne National Lab near Chicago was touted as U.S.’ fastest computer when announced in 2019.
Nvidia and AMD’s Polaris will come online this year and serve as a test machine for Argonne to prepare its software for Intel’s device. However, it will not serve as a replacement for Intel’s machine.
Reuters notes that the $500 million Intel contract for the supercomputer is expected to deliver exaflop performance or perform 1 quintillion per second.
Based on Nvidia’s A100 chips and AMD’s Rome and Milan chips, Polaris will be able to make some exaflop calculations but mostly work at slower speeds.
Intel said it is committed to delivering the computer by 2022.
Price Action: NVDA shares traded lower by 0.35% at $217.17, and AMD shares traded higher by 0.07% at $107.73 in the premarket session on the last check Wednesday.