Intel: Expect Google To Buy More x86 Processors

Alphabet’s (NASDAQ:GOOG) (NASDAQ:GOOGL) I/O event revealed its plans over app streaming and always-on, connected artificial intelligence services. This grand ambition of Alphabet is a long-term tailwind for Intel (NASDAQ:INTC). The massive compute power needed to host millions of people using streamed apps will require Google to build more server farms. It’s going to be pricey Xeon processors again for Alphabet’s data center servers and deep-learning machines. Google is and will remain the biggest buyer of Intel-made server chips. This will not change any time soon. Google buys around 300,000 Intel processors quarterly for its server needs. The 1 PCie slot = 1 teraflop performance of one Xeon Phi coprocessor is something that Google can never resist. Click to enlarge (Source: Intel) At an average discounted price of $1k per Xeon,…


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