alt Hacker NewsThey are in Nvidia warehouses. Nvidia is selling H100s and other hardware in advance to firms who do not have data centres to put them in.
Nobody is getting fired for thinking they need to buy scarce H100s in case they aren't able to get them in the future. Nobody is even getting fired for keeping their companies out of Jensen Jail — the fear that if they don't buy the whole server stack from Nvidia they might not get future GPU allocations.
There really are analysts who think Nvidia is channel-stuffing.
If the market deflates there will be a glut of very cheap compute, both in terms of data centres (though many of them will be able to offer managed model training services instead, I suspect) and in terms of unused hardware being made available for sale.
Nvidia won't lose out; everyone else is going to.
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Here's interesting question I haven't seen covered. The promises to buy hardware (not just NVIDIA but networking, servers themselves, etc etc) are NOT on the income statements of the buyers...
Are the contracts on the income statements of the sellers? If Anthropic promised to buy $200B of GPUs from NVIDIA, is it recorded on NVIDIA's income statement (other than a footnote "we have $200B orders lined up")?
'Cause if it is, that'd be $200B GDP increase _literally_ conjured out of thin air.
The market for compute or the stock market? People seem to have got lost conflating these two things.
Supply and demand bring what it is means that (alleged) cheap compute won’t stay cheap or go unused for very long.