Intel once wanted to buy Nvidia for only $20 billion

Intel is a pioneer in the semiconductor industry. In 2005, the former CEO of Intel proposed to buy Nvidia for $20 billion. At that time, Nvidia was famous for its graphics cards for computers and had great potential in data centers.

Intel regrets missing out on Nvidia

However, Intel's board of directors did not approve the $20 billion deal. Instead, they were interested in an internal graphics project called Larrabee, led by current CEO Pat Gelsinger.

Nearly two decades later, Nvidia has become the world’s second-most valuable public company and has consistently outperformed investor expectations. Intel, on the other hand, has seen its stock fall 53% this year and is worth less than $100 billion, about 1/30th the size of Nvidia’s. Intel’s stock fell 27% in August alone after its second-quarter revenue and profit missed expectations.

After missing out on Nvidia, Intel also missed out on an opportunity when it decided not to buy OpenAI shares. The reason given was that the former Intel CEO did not think OpenAI could launch generative AI models soon enough to be worth investing in.

Source: https://kinhtedothi.vn/intel-tung-muon-mua-nvidia-voi-gia-chi-20-ty-usd.html