Intel Forecasts 6.8% Q1 Data Center Growth as It Deepens Google AI CPU Partnership
Intel is expected to report a 1.9% Q1 revenue decline to $12.42 billion as acute server chip shortages ease, while its data center and AI segment is forecast to grow 6.8% to $4.41 billion. The company also expanded its AI CPU partnership with Google, highlighting both collaboration benefits and supply risks.
1. Q1 Forecast and Segment Growth
Intel is expected to report a 1.9% decline in first-quarter revenue to $12.42 billion as server chip supply constraints, which limited production for AI and data center customers, begin to ease. Its data center and AI segment is forecast to expand 6.8% to $4.41 billion, signaling improving capacity for cloud service providers.
2. AI CPU Partnership with Google
Intel has expanded its AI CPU partnership with Google, joining the Terafab AI chip complex project to design and manufacture processors optimized for AI workloads. The collaboration aims to secure critical compute capacity for Google’s AI services while highlighting the shared infrastructure supply risks inherent in large-scale chip deployments.