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2024-01-06 5:07 AM

Intel’s Bold Move: Unleashing Articul8 AI to Revolutionize Enterprise Software and Challenge Competitors in Growing AI Market

By Lethabo Ntsoane

In a strategic maneuver to strengthen its position in the AI-powered enterprise software market, Intel has announced the formation of Articul8 AI, a platform company backed by Boca Raton-based asset manager DigitalBridge. This development marks Intel’s latest initiative to seek external capital for business units and aligns with CEO Pat Gelsinger’s broader comeback plan.

Genesis of Articul8 AI

The genesis of Articul8 AI can be traced back to a proof-of-concept collaboration between Intel and Boston Consulting Group (BCG) in May of the previous year. Leveraging Intel’s hardware and a blend of open-source and internally developed software, the collaboration resulted in a generative AI system capable of reading text and images. This system, housed in BCG’s data centers, was meticulously fine-tuned over two years to meet BCG’s stringent security requirements.

Scaling to New Heights

Initially exclusive to BCG, Intel has diligently worked to scale the Articul8 platform over the last few months. While optimized for Intel hardware, the platform is versatile, supporting alternatives. This expansion aims to cater to companies in sectors such as financial services, aerospace, semiconductor, and telecommunications, particularly those demanding high-security levels and specialized domain knowledge.

Table 1: Articul8 AI Investors

Investors
Intel
DigitalBridge
Fin Capital
Mindset Ventures
Communitas Capital
GiantLeap Capital
GS Futures
Zain Group

Features and Flexibility

Articul8’s gen AI software product is designed from the ground up to address enterprise needs. It prioritizes speed of deployment, scalability, security, and sustainability, including cost considerations. The platform enables customers to choose between cloud, on-premises, or hybrid deployment options, providing a flexible solution to meet diverse business requirements.

Leadership and Team Composition

Arun Subramaniyan, former VP and GM at Intel’s data center and AI group, assumes the role of CEO at Articul8 AI. The team comprises predominantly ex-Intel employees, ensuring a seamless transition and leveraging their expertise in the development and optimization of the AI platform.

Strategic Alignment with Intel

Intel retains a strategic alignment with Articul8, planning to leverage its enterprise gen AI software for internal use and offering it to end customers through a joint go-to-market partnership. While Intel will retain an undisclosed stake in Articul8, both entities will continue to work collaboratively to drive consumption of Intel compute offerings.

Intel’s Broader Strategy

The spinout of Articul8 is part of Intel’s broader strategy to raise capital for CEO Pat Gelsinger’s comeback plan. This plan involves expanding chip factories in the U.S. and Europe and introducing new advanced chip manufacturing nodes within the next four years. Articul8 fits into Gelsinger’s vision of delivering new software products and services, including GenAI-powered products, to compete with industry rivals such as Nvidia and AMD.

Conclusion

As Intel forges ahead with the creation of Articul8 AI, the move signifies a significant step in the company’s evolution. The platform’s focus on enterprise needs, strategic partnerships, and the commitment to innovation positions Intel as a formidable player in the competitive landscape of AI-powered enterprise software. The collaboration with Articul8 marks not only a technological advancement but also a strategic move to secure Intel’s foothold in the generative AI market.

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Lethabo Ntsoane

Lethabo Ntsoane holds a Bachelors Degree in Accounting from the University of South Africa. He is a Financial Product commentator at Rateweb. He is an expect financial product analyst with years of experience in reviewing products and offering commentary. Lethabo majors in financial news, reviews and financial tips. He can be contacted: Email: lethabo@rateweb.co.za Twitter: @NtsoaneLethabo