Why NVIDIA Didn’t Build CoreWeave 🎯
AI Summary
Summary of Video: pFI—vr-bmI
- Nvidia’s Strategy:
- Nvidia seems to restrict Microsoft’s capacity to prevent competition.
- Avoiding launching their own cloud service, as it would compete with their current customers.
- Customer concentration is risky; having few customers (Microsoft, Google, Amazon) setting prices is detrimental.
- Diverse customer base is preferred to maintain optimal pricing and competition.
- Challenges for Digital Ocean and Together:
- Both companies are regarded as excellent but may struggle financially with their cluster services.
- Coupling software and hardware may lead to losses as per the speaker’s intuition.
- Key Takeaway:
- It’s crucial for Nvidia to maintain a competitive landscape rather than relying on a few major clients.