Of course BBC is only saying the Chinese spy and nothing about the affair with person under him in the company
Interesting that the Chinese spy wasn’t the reason he quit. I appreciate the line was drawn at an ethics violation but being a high security risk should probably also put you out of that job too.
Easier to remove someone for obvious rule breaking compared to alleged.
This is blatant speculation, but it sorta feels like someone threw prime blackmail material away. So either Jensen refused to bow to pressure, or company politics and someone wanted him gone.
Hopefully the company still does well. Founder led companies typically do better.
Granted… better in this case wasnt as much for consumers as they heavily shifted to business, so any change might actually be better for us, but it also might just end up being worse for everyone.
I hope their stocks plummet, and their over leveraged asses go bankrupt and take all the AI companies with them. Let it all fucking burn to the ground.
You know, when the bubble bursts, the failing companies will be sold for cheap rather than destroyed.
So, worst-case scenario: we have one company holding the AI monopoly (possibly UAE investors), and China stops creating open-weight models since they no longer have to undermine the US.
Also, the US economy is propped up by the inflated AI company values, so a collapse could have significant consequences: recession, inflation, and failing businesses.
The AI bubble is a lose-lose scenario for the general public and a good leader would have done something about it ages ago.
The stock will probably come down ya. Source they are over leveraged which could lead to bankruptcy though?
Wouldn’t it be more likely that the AI companies going down on their own impacts nvidia?
They’ve been selling shovels in a gold rush so bankruptcy on their own seems unlikely, but an impact on the stock yes.
They’ve been selling shovels to retailers, and buying advertising space claiming a gold rush. The retailers are borrowing money from the marketing firm to pay for the shovels.
Everyone bought shares in the shovel company, the retailer, and the marketing firm.
But there’s no gold, and nobody is buying shovels.
I know the circular part, but its the AI companies that need to go under and reneg on the orders to cause the collapse of nvidia. Nvidia wont do it on their own. And they are in fact selling an exceptional amount of shovels.
And they are in fact selling an exceptional amount of shovels.
To the retailers. They are selling wholesale to the retailers, on credit. They are lending, with extra steps.
Customers aren’t buying enough shovels to service even the interest on these debts. The retailers are not bringing in anywhere near the revenue necessary to make this process sustainable.
Any sources that nvidia is giving them the GPUs on credit and not the AI companies using credit to give nvidia cash?
"Nvidia’s equity investments stood at $99 billion as of July 26, up sharply from a year earlier as it expands its financial backing across the AI sector.
Investments span frontier AI labs, cloud providers and infrastructure companies, including OpenAI, CoreWeave and Nebius.
Capital has increasingly become a key play for Nvidia.
In August, the company announced partnerships with major investment firms aimed at mobilizing more than $500 billion worth of financing for Nvidia’s graphics processing units (GPUs) and said it would provide up to $105 billion of conditional credit support for an OpenAI data center in Ohio. Nvidia also announced Thursday it is planning to acquire AI startup Hugging Face for $12.9 billion."
They are buying up shares all over the AI sector, which is essentially Nv lending them money, with which these companies can buy their GPUs.
Don’t forget the crypto bros who mine with GPUs are willing to snap up anything the AI datacenters haven’t nailed down.
Are these AI gpus even good at crypto mining? Definitely not cost benefit wise if they were retail price, but maybe clearance prices?
Yes, GPUs are quite good at crypto mining.
Crypto was the original reason behind GPU shortages and resulting skyrocketing prices from years ago.
TBF, GPUs have been overshadowed by low-overhead ASIC chips for crypto mining, but I’m sure some would grab discounted GPUs for mining in a heartbeat.
Oh, and there’s always the Chinese market for smuggled nVidia GPUs too.
Depending on the new leadership, NVIDIA will either pivot towards AI or gaming. Most likely towards (edit. more) AI in my opinion, because companies don’t care about backlash like consumers do, and because companies have a responsibility to bring value to shareholders.
I’d say the pivot to AI already happened… so status quo or back to gaming.
Thanks, I should have been more clear. More towards AI. Edited my message
