Intel spokesperson claims that despite the decision to halt production of BTC mining chips, the company will continue to "monitor market opportunities" in the crypto industry.
Intel, a major United States-based technology company, is set to halt the production of its Blockscale Bitcoin (BTC) mining chips in an effort to reduce expenses.
According to the Reuters news report shared on April 18th, Intel will stop taking orders for the Blockscale 1000 Series ASICs by October 20th and cease shipments around April 2024.
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Reuters report claims that the move to cease Bitcoin mining chip production is led by the company's goal to focus on manufacturing specific chips for outside clients, thereby trimming overall costs.
In its announcement, Intel's spokesperson noted:
As we prioritize our investments in IDM 2.0, we have end-of-lifed the Intel Blockscale 1000 Series ASIC while we continue to support our Blockscale customers.
In April 2022, Intel launched the Blockscale mining chips, boasting a hash rate of up to 580 gigahash per second. These chips could be combined and integrated into a single mining unit. Early adopters of the technology included mining companies such as Argo Blockchain, Block, Hive Blockchain Technologies, and GRIID Infrastructure.
However, despite plans to cease the production of Blockscale Bitcoin mining chips, Intel claims it will continue to "monitor market opportunities" in the crypto industry.
Intel CEO Pat Gelsinger reportedly accepted a 25% salary reduction in February, with the company estimating annual cost savings of up to $10 billion by 2026 as a result of cost-cutting measures and increased efficiency.
Intel's decision to discontinue its Bitcoin mining chips signals a shift in priorities towards more cost-effective ventures while maintaining the company's interest in future crypto-related opportunities.
In other crypto-mining-related news, in March, Biden's administration unveiled plans to apply a 30% tax on crypto-mining electricity usage.
