Intel to Discontinue Blockscale Bitcoin Mining Chips
Luisa Crawford Apr 21, 2023 07:44
Intel plans to cut costs by discontinuing its Blockscale Bitcoin mining chips, with the company stopping orders for the ASICs by Oct. 20 and ending shipping roughly in April 2024. Intel launched the Blockscale mining chips in April 2022 with a hash rate of up to 580 gigahash per second. The move is part of Intel's strategy to prioritize certain chips for outside customers while monitoring market opportunities in the crypto space.
Major United States-based technology company Intel has announced plans to discontinue its Blockscale Bitcoin mining chips. According to a Reuters report on April 18, Intel will stop taking orders for the Blockscale 1000 Series ASICs by Oct. 20 and end shipping roughly in April 2024. The move is aimed at cutting overall costs as part of a strategy of prioritizing the manufacturing of certain chips to outside customers.
Intel launched the Blockscale mining chips in April 2022, touting the ASIC hardware's hash rate of up to 580 gigahash per second. Each chip could be combined and merged into a single mining unit, making it a popular choice for mining firms. Argo Blockchain, Block, Hive Blockchain Technologies, and GRIID Infrastructure were among the first companies to integrate the technology into their operations.
However, with the new announcement, Intel is discontinuing the Blockscale line of chips. The move is part of a broader effort by the company to cut costs and improve efficiency. Intel CEO Pat Gelsinger reportedly took a 25% pay cut in February, and the company is projecting annual cost reductions of up to $10 billion due to cost-cutting initiatives and efficiency gains by 2026.
While Intel plans to discontinue the mining chips, the company said it would continue monitoring "market opportunities" in the crypto space. This suggests that Intel remains interested in the cryptocurrency industry and could potentially launch new products or services in the future.
The Blockscale line of chips was a significant offering for Intel, but the company's decision to discontinue them is not entirely surprising. The cryptocurrency industry is highly competitive, and mining firms are always looking for ways to improve efficiency and reduce costs. Additionally, the recent drop in Bitcoin's price has made mining less profitable for many miners, leading some to scale back or even exit the industry altogether.
Overall, Intel's decision to discontinue the Blockscale line of chips reflects the broader trends in the cryptocurrency industry. As the market continues to evolve, it is likely that we will see further consolidation and changes among industry players. However, with Intel's continued interest in the crypto space, it is also possible that the company will launch new products or services that cater to the needs of the industry.
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