Menu

Deciding When to Use Intel Xeon CPUs for AI Inference, AI Field Day

Deciding When to Use Intel Xeon CPUs for AI Inference, AI Field Day

Introduction

Intel presented the capabilities of Intel Xeon CPUs for AI inference at AI Field Day, filling out a complete day with a series of Intel partner presentations following the same theme. Intel has been building workload-specific acceleration into CPU designs for over a decade. The 5th Generation Xeon Scalable CPUs added an AI-specific accelerator (AMX) alongside a few new built-in accelerators. This is part of the evidence that Intel is dedicated to allowing customers to run AI on their CPUs rather than requiring add-in card accelerators for every AI use.

Ronak Shah presented this continuing vision at AI Field Day 4 where delegates wanted to understand the decision points for using older Xeon CPUs, 5th Generation Xeon Scalable or adding an off-CPU accelerator such as an NVIDIA GPU. Ronak was very clear that not all AI use cases suit Intel Xeon CPUs for AI inference and that the decision is not clear-cut. The rule of thumb seems to be that large language models (LLMs) with over 20 billion parameters will seldom deliver acceptable performance on CPUs. Smaller models and non-LLM-based AI can often use Intel Xeon CPUs for AI inference and deliver the required latency.

The AI Pipeline CPU-GPU Sandwich

Ronak outlined Intel’s view of an AI pipeline, starting with training data preparation, a CPU-dominated task that mostly involved moving data and extract-transform-load (ETL) tasks. After data preparation, the next phase is model training, which is almost always a GPU-dominated task where the massive parallelization of a GPU can be continuously loaded. The third stage is inference, deploying the AI model to do its job. Ronak sees many production uses of Intel Xeon CPUs for AI inference. Mainly, when the AI is a part of a complete business application, this use of CPU for data prep, GPU for training, and CPU for inference is what I’m calling the AI pipeline CPU-GPU sandwich.

One of the big benefits of Intel Xeon CPUs for AI inference is that you already have them. There is no need to build a specialized infrastructure just for AI. The AI application can live alongside other applications on your shared computing platform. It is essential to recognize that generative AI is not the only player in the game; most production use of AI uses much smaller models. These smaller models are ideally suited to CPUs. Notably, the AMX accelerator speeds machine vision use cases up to two orders of magnitude compared with 4th Generation Xeon Scalable. In many production use cases, using Intel Xeon CPUs for AI inference makes sense.

Disclosure: The Futurum Group is a research and advisory firm that engages or has engaged in research, analysis, and advisory services with many technology companies, including those mentioned in this article. The author does not hold any equity positions with any company mentioned in this article.

Analysis and opinions expressed herein are specific to the analyst individually and data and other information that might have been provided for validation, not those of The Futurum Group as a whole.

Other Insights from The Futurum Group:

Intel’s AI Everywhere Event Unveils Strategic Moves in the Era of AI

Intel Developer Cloud: Driving AI Chip Design, Filling AI Workload Gap

Intel 5th Gen Xeon Scalable Processors Make Breakthroughs

Author Information

Alastair has made a twenty-year career out of helping people understand complex IT infrastructure and how to build solutions that fulfil business needs. Much of his career has included teaching official training courses for vendors, including HPE, VMware, and AWS. Alastair has written hundreds of analyst articles and papers exploring products and topics around on-premises infrastructure and virtualization and getting the most out of public cloud and hybrid infrastructure. Alastair has also been involved in community-driven, practitioner-led education through the vBrownBag podcast and the vBrownBag TechTalks.

Related Insights
ServiceNow Bets on OpenAI to Power Agentic Enterprise Workflows
January 23, 2026

ServiceNow Bets on OpenAI to Power Agentic Enterprise Workflows

Keith Kirkpatrick, Research Director at Futurum, examines ServiceNow’s multi-year collaboration with OpenAI, highlighting a shift toward agentic AI embedded in core enterprise workflows....
Is Tesla’s Multi-Foundry Strategy the Blueprint for Record AI Chip Volumes
January 22, 2026

Is Tesla’s Multi-Foundry Strategy the Blueprint for Record AI Chip Volumes?

Brendan Burke, Research Director at Futurum, explores how Tesla’s dual-foundry strategy for its AI5 chip enables record production scale and could make multi-foundry production the new standard for AI silicon....
January 21, 2026

AI-Enabled Enterprise Workspace – Futurum Signal

The enterprise workspace is entering a new phase—one shaped less by device refresh cycles and more by intelligent integration. As AI-enabled PCs enter the mainstream, the real challenge for IT...
AWS European Sovereign Cloud Debuts with Independent EU Infrastructure
January 16, 2026

AWS European Sovereign Cloud Debuts with Independent EU Infrastructure

Nick Patience, AI Platforms Practice Lead at Futurum, shares his/her insights on AWS’s launch of its European Sovereign Cloud. It is an independently-run cloud in the EU aimed at meeting...
SiFive and NVIDIA Rewriting the Rules of AI Data Center Design
January 15, 2026

SiFive and NVIDIA: Rewriting the Rules of AI Data Center Design

Brendan Burke, Research Director at Futurum, analyzes the groundbreaking integration of NVIDIA NVLink Fusion into SiFive’s RISC-V IP, a move that signals the end of the proprietary CPU’s stranglehold on...
Will QAI Moon Beat Hyperscalers in GPU Latency
January 15, 2026

Will QAI Moon Beat Hyperscalers in GPU Latency?

The need for edge AI inference is being met by QAI Moon, a new joint venture formed by Moonshot Energy, QumulusAI, and IXP.us to pair carrier-neutral internet exchange points with...

Book a Demo

Newsletter Sign-up Form

Get important insights straight to your inbox, receive first looks at eBooks, exclusive event invitations, custom content, and more. We promise not to spam you or sell your name to anyone. You can always unsubscribe at any time.

All fields are required






Thank you, we received your request, a member of our team will be in contact with you.