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The AI wildfire is coming. it's going to be painful and healthy

(ceodinner.substack.com)
117 points LordAtlas | 1 comments | 07 Dec 25 16:43 UTC | HN request time: 0s | source
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blibble ◴[07 Dec 25 18:15 UTC] No.46183724[source]▶
I don't see how nvidia come out of this stronger

their huge customers will be able to produce ASICs hat will be faster and cheaper to operate than their GPUs

jensen has to be the luckiest man in the world, first crypto, now "AI"

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1. throw234234234 ◴[07 Dec 25 22:32 UTC] No.46185972[source]▶
I think this is what the "circular financing" is all about actually. While you are in the 'picks and shovels' phase you want to use your high margins to buy up the value chain and become more vertically integrated. Effectively investing when the sun shines to diversify the company.

As a possibility for example I can see them transforming from a GPU based corp into a parent company for many full or partially owned "subsidiaries". They still manufacture chips to be "vertically integrated" but that becomes bread and butter as an enablement rather than the main story (e.g. Google TPU's). As their margins go down the value accrues to what they are owning (the business units/product areas).