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back to article Cloverleaf deal is latest example of Nvidia using its war chest to patch cracks in the AI bubble

Nvidia has made its fortune on the AI boom, but the company has a problem. It faces a growing number of roadblocks which, if left unchecked, could pop the bubble. Thus, the AI arms dealer has been forced to play a game of Whac-a-Mole, shoring up the foundations of its empire by investing its spoils into ensuring its customers …

  1. retiredFool Silver badge

    People are fighting back

    in odd ways though to keep DC's out. Story /. reported on where U Michigan wanted to drop a DC on a small area outside campus. Did not turn out well. https://www.404media.co/township-fights-nuclear-weapons-data-center-by-passing-a-moratorium-on-electrical-infrastructure/ Creative idea. Enough to slow it down and possibly get them to move it to more friendly area.

    I do think the hype has to pass. For most people, their money outflow is fixed. They pay rent, groceries, insurance, clothes, entertainment, ... There is no "AI" slice. And yet for AI to be successful, AI is going to need a large slice of that pie. That slice doesn't exist. Family budgets are zero sum things, short a raise. And lately inflation has eaten more than the raise(assuming they didn't get laid off due to AI), so families are switching to private labels instead of the P&G, Starbucks, ... label.

    1. Jimjam3 Bronze badge

      Re: People are fighting back

      Just wait till food prices shoot up following the drought

      1. retiredFool Silver badge

        Re: People are fighting back

        It isn't going to be the drought. It will be follow on effects from the silly wars of Russa/US. Russia/Ukraine shipped enormous amounts of wheat. I believe they are referred to as the breadbasket of Europe. Now they are having trouble getting product out not to mention planting is down. Hard to farm while dodging drones.

        And then the US in donald's infinite wisdom clogged up the strait that allows mid-east product to flow. One of those products is fertilizer. So this past planting season went light on fertilizer in the US. Follow effect will be less wheat.

        And you know its getting bad when donnie waives some tariffs. 300K-tons of ground beef just got the green light. I remember when as a kid ground beef was the cheap meal. Hamburger Helper was the goto cheap. Now pasta/noodles are pricey and ground beef is just precious.

  2. TimMaher Silver badge
    Pint

    My study/3rd bedroom/boxroom.

    It’s entirely air cooled.

    Therefore I shall be unable to support, or even use AI.

    1. Lon24 Silver badge

      Re: My study/3rd bedroom/boxroom.

      Use the lavatory. It's designed for dealing with sh**

  3. the spectacularly refined chap Silver badge

    Nvidia can only sell as many GPUs as there are datacenters to put them

    Ah, that explains how expensive it is. I didn't realise that each GPU needs its own data centre.

  4. Arkitekt

    They think the world is stupid and doesnt know the entire ecosystem is artificially propped up by their massive wealth, but were not. It why their stock isnt going berserk...

    1. nobody who matters Silver badge

      "They think the world is stupid....."

      Unfortunately, a large proportion are stupid.

  5. spireite Silver badge

    Weasel...

    Can't wait for the immense popping sound

  6. O'Reg Inalsin Silver badge

    The cost of ignoring first order market forces

    Meanwhile there is real honest demand for NVidia's standalone products. Prices for older RTX 3/4/5/6xxx models have skyrocketed (150%) because of HONEST demand and DISHONESTLY restricted supply.

    Screwing with the honest market forces long enough will result in big future losses. Chinese GPUs are likely to eventually start filling that RTX 3/4/5/6xxx demand internationally, and then it will be too late - just when shit hits fan and datacenter demand drops off a cliff because nobody in the USA can afford it, and everybody outside the USA has self hosted alternatives.

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