Intel's Arc graphics chips help video games and other content look more realistic. The chips are Intel's first effort in many years in the market and will take on leader Nvidia, which had graphics chips sales of $9.8 billion in its most recent fiscal year, a 29% increase.

At the Consumer Electronics Show on Tuesday, Intel said that it has reached deals with PC makers to offer the chips in 50 different models. Among the PC makers offering the chips will be Dell Technologies, Lenovo Group Ltd and Samsung Electronics Co Ltd.

Earlier on Tuesday, Nvidia said that its latest graphics chip for gamers has been adopted in 160 models from PC makers.

(Reporting by Stephen Nellis in San Francisco; Editing by Cynthia Osterman)

By Stephen Nellis