alt Hacker NewsBecause everybody and their dog are designing inference chips. Same as tokens, high demand at commodity prices means low profits.
TSMC will still make massive bank because they're the bottleneck. That bank will be squeezed out of companies dependent on TSMC.
> commodity prices means low profits.
I still don't understand how models being commoditised implies the hardware (NVIDIA) itself being commoditised.
What is the exact mechanism that causes NVIDIA's profit to go lower?
Do you mean to suggest that the bubble popping will simultaneously commoditise models as well as inference hardware?
They are completely different layers and have almost zero correlation. I see no indication that hardware also gets commoditised.