Intel, the chipmaking giant, has appointed former Hewlett-Packard Enterprise (HPE) executive Justin Hotard as the new executive vice president and general manager of its Data Center and AI Group. Hotard, known for his expertise in artificial intelligence (AI) and high-performance computing, will be responsible for boosting Intel’s market share in the rapidly growing AI hardware industry.
Hotard’s appointment follows the departure of Sandra Rivera, who is now the chief executive of Intel’s new Programmable Solutions Group. The company plans to spin off this unit into an independent business and eventually conduct an initial public offering in the next few years.
The hiring of Hotard is crucial for Intel, as the company faces challenges in various sectors of the chipmaking industry. One of the most significant challenges is in the AI chip segment, where Nvidia has emerged as the dominant player with its graphics processing units that power generative AI systems like ChatGPT. Additionally, Intel faces increased competition from Advanced Micro Devices (AMD) and emerging players offering Arm-based chips for cloud servers. Furthermore, some of Intel’s biggest customers, including Google and Amazon Web Services, are developing their own central processing units for data center workloads.
To stay competitive, Intel has diversified its offerings. It has expanded its Xeon CPUs to handle a wider range of workloads, developed its own GPUs for AI and high-performance computing applications, and introduced Gaudi AI accelerators.
In his new role, Hotard will lead Intel’s Data Center and AI Group and work towards enhancing the company’s prominence in the AI industry. The AI market is expected to experience significant growth in the coming years and is predicted to be the most important segment of the semiconductor industry.
Intel CEO Pat Gelsinger expressed confidence in Hotard, describing him as a proven leader with a track record of driving growth and innovation in the data center and AI industries. Gelsinger believes that Hotard understands Intel’s vision to create groundbreaking technologies and is passionate about empowering customers for years to come.
Hotard previously served as the executive vice president and general manager of HPE’s AI and high-performance computing business unit. He also led HPE’s AI research efforts as the head of Hewlett Packard Labs. Prior to his tenure at HPE, Hotard held executive positions at NCR VOYIX Corp., Motorola Mobility LLC, and Symbol Technologies Inc.
It is notable that Intel chose to hire an external candidate for such a crucial business unit, which may raise questions about the company’s confidence in its existing executives. Nevertheless, Hotard’s successful performance at HPE, where he increased the AI and high-performance computing business unit’s revenue to $1.18 billion, indicates his capability to drive growth.
According to industry experts, Intel’s ability to attract Hotard away from HPE is a significant achievement, considering the fierce competition among big tech firms to secure top AI talent. As companies engage in a talent war, the limited pool of executives and technologists experienced in AI becomes highly sought after. Some companies are resorting to acquiring AI companies to address the shortage of talent.
Overall, Intel’s appointment of Justin Hotard demonstrates its commitment to strengthening its position in the AI hardware industry. With his expertise and experience, Hotard is well-positioned to lead Intel’s Data Center and AI Group, driving growth, and innovation in these crucial sectors.