I legitimately think they’re buying so much to stop their competitors from buying more. These companies now have more GPUs than they can fit in their datacenters, but they’re still buying more. These are assets that rapidly depreciate.
A big part of this is Nvidia twisting their arms. “Buy this many billion dollars of GPU’s or we cut you out of future GPU purchases. This way we can both look like hyperscalers.”.
Intel used to do that same thing to OEM’s. Force them to buy junk like Pentium D chips so that they could have priority access to Core 2 Duo/Quads of the time.
I legitimately think they’re buying so much to stop their competitors from buying more. These companies now have more GPUs than they can fit in their datacenters, but they’re still buying more. These are assets that rapidly depreciate.
Maybe nVidia isn’t even making the gpus, nobody will know right? Just empty boxes worth billions…
A big part of this is Nvidia twisting their arms. “Buy this many billion dollars of GPU’s or we cut you out of future GPU purchases. This way we can both look like hyperscalers.”.
Intel used to do that same thing to OEM’s. Force them to buy junk like Pentium D chips so that they could have priority access to Core 2 Duo/Quads of the time.