Intel is introducing Gaudi 3, its competitor to Nvidia's AI hardware. While Gaudi 3 may not look impressive on paper, Intel claims it can go toe to toe with Nvidia in most AI workloads. However, Intel will need to step up its game in the next year to stay competitive, especially with the upcoming release of Blackwell, which is expected to be much faster than Gaudi 3. Google is also entering the AI hardware market with its ARM-based CPU, joining other cloud providers in offering ARM designs. The cost of AI and the sustainability of the infrastructure are still uncertain.