After reiterating that it will continue to compete in the discrete GPU market, hints have been dropped that Intel is working on its own version of Multi-Frame Generation.

It was only recently that NVIDIA and Intel announced a huge $5 billion deal that involves NVIDIA supplying RTX GPU chiplets for Intel to use on its CPUs, which caused many to think the end was near for Intel's Arc GPU line-up. However, that isn't the case. An Intel spokesperson said the company will continue to compete in the discrete GPU market.
Intel's Battlemage GPU is currently still in development, and to really compete with other GPUs on the market, the company will need to release its own form of multi-frame generation, or at least that is what recently changed driver files are suggesting.
A Reddit user diving through the change log of Intel's driver files stumbled across a reference to multi-frame generation, along with an icon included in the header image. While this doesn't confirm that Intel will release its own form of multi-frame generation technology, which would be available within XeSS and across competing GPUs, it does suggest that something is in the works at Intel regarding multi-frame generation technology.
Currently, Intel is the only GPU maker that doesn't offer a form of multi-frame generation to match the competition, so it makes sense that Intel will eventually join the party. It's possible that this new feature will be launched alongside the Arc B770 GPU this year, but Intel hasn't confirmed any details regarding that.




