For someone who doesn't know what a gigawat worth of Nvidia systems is, how many high-end H100 or whatever does this get you? My estimates along with some poor-grade GPT research leads me to think it could be nearly 10 million? That does seem insane.
> Strategic partnership enables OpenAI to build and deploy at least 10 gigawatts of AI datacenters with NVIDIA systems representing millions of GPUs
I know watts but I really can’t quantify this. How much of Nvidia is there in the amount of servers that consume 10GW? Do they all use the same chip? What if there is newer chip that consumes less, does the deal imply more servers? Did GPT write this post?
In accounting terms, this is a shady business practice known as "round tripping" where you invest in a company for the sole purpose of them buying your product. It allows you to count your revenue multiple times.
I'm old enough to remember when vendor financing was both de rigueur and also frowned upon... (1990s: telecom sector, with all big players like Lucent, Nortel, Cisco, indulging in it, ending with the bust of 2001/2002, of course)
If Solar can't compete with natural gas economically, and subsidizing solar ends up de-incentivizing natural gas production by artificially lowering energy prices, what's the solution here?
This is throwing more cards on the house of cards. Nvidia is “investing” in OpenAI so OpenAI can buy GPUs from NVidia. Textbook “round tripping.”
I generally like what’s been happening with AI but man this is gonna crash hard when reality sets in. We’re reaching the scary stage of a bubble where folks are forced to throw more and more cash on the fire to keep it going with no clear path to ever get that cash back. If anyone slows down, even just a bit, the whole thing goes critical and implodes.
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[ 3.6 ms ] story [ 97.5 ms ] threadAll-in, you’re looking at a higher footprint maybe 4-5kw per GPU blended.
So about 2 million GPUs.
I know watts but I really can’t quantify this. How much of Nvidia is there in the amount of servers that consume 10GW? Do they all use the same chip? What if there is newer chip that consumes less, does the deal imply more servers? Did GPT write this post?
So this investment is somewhat structured like the Microsoft investment where equity was traded for Azure compute.
The electric bills are getting out of hand.
I generally like what’s been happening with AI but man this is gonna crash hard when reality sets in. We’re reaching the scary stage of a bubble where folks are forced to throw more and more cash on the fire to keep it going with no clear path to ever get that cash back. If anyone slows down, even just a bit, the whole thing goes critical and implodes.