{"id":10961,"date":"2023-08-24T21:08:22","date_gmt":"2023-08-24T21:08:22","guid":{"rendered":"https:\/\/mysourcefunding.com\/startups\/nvidia-chip-shortages-leave-ai-startups-scrambling-for-computing-power\/"},"modified":"2023-08-24T21:08:23","modified_gmt":"2023-08-24T21:08:23","slug":"nvidia-chip-shortages-leave-ai-startups-scrambling-for-computing-power","status":"publish","type":"post","link":"https:\/\/mysourcefunding.com\/?p=10961","title":{"rendered":"Nvidia Chip Shortages Leave AI Startups Scrambling for Computing Power"},"content":{"rendered":"
\n

Cloud computing providers<\/span> are very aware that their customers are struggling for capacity. Surging demand has \u201ccaught the industry off guard a bit,\u201d says Chetan Kapoor, a director of product management at AWS.<\/p>\n

The time needed to acquire and install new GPUs in their data centers have put the cloud giants behind, and the specific arrangements in highest demand also add stress. Whereas most applications can operate from processors loosely distributed across the world, the training of generative AI programs has tended to perform best when GPUs are physically clustered tightly together, sometimes 10,000 chips at a time. That ties up availability like never before.<\/p>\n

Kapoor says AWS\u2019 typical generative AI customer is accessing hundreds of GPUs. \u201cIf there\u2019s an ask from a particular customer that needs 1,000 GPUs tomorrow, that\u2019s going to take some time for us to slot them in,\u201d Kapoor says. \u201cBut if they are flexible, we can work it out.\u201d<\/p>\n

AWS has suggested clients adopt more expensive, customized services through its Bedrock offering, where chip needs are baked into the offering without clients having to worry. Or customers could try AWS\u2019 unique AI chips, Trainium and Inferentia, which have registered an unspecified uptick in adoption, Kapoor says. Retrofitting programs to operate on those chips instead of Nvidia options has traditionally been a chore, though Kapoor says moving to Trainium now takes as little as changing two lines of software code in some cases.<\/p>\n

Challenges abound elsewhere too. Google Cloud hasn\u2019t been able to keep up with demand for its homegrown GPU-equivalent, known as a TPU, according to an employee not authorized to speak to media. A spokesperson didn\u2019t respond to a request for comment. Microsoft\u2019s Azure cloud unit has dangled refunds to customers who aren\u2019t using GPUs they reserved, the Information reported in April. Microsoft declined to comment.<\/p>\n

Cloud companies would prefer that customers reserve capacity months to years out so those providers can better plan their own GPU purchases and installations. But startups, which generally have minimal cash and intermittent needs as they sort out their products, have been reluctant to commit, preferring buy-as-you-go plans. That has led to a surge in business for alternative cloud providers, such as Lambda Labs and CoreWeave, which have pulled in nearly $500 million from investors this year between them. Astria, the image generator startup, is among their customers.<\/p>\n

AWS isn\u2019t exactly happy about losing out to new market entrants, so it\u2019s considering additional options. \u201cWe\u2019re thinking through different solutions in the short- and the long-term to provide the experience our customers are looking for,\u201d Kapoor says, declining to elaborate.<\/p>\n

Shortages at the cloud vendors are cascading down to their clients, which include some big names in tech. Social media platform Pinterest is expanding its use of AI to better serve users and advertisers, according to chief technology officer Jeremy King. The company is considering using Amazon\u2019s new chips. \u201cWe need more GPUs, like everyone,\u201d King says. \u201cThe chip shortage is a real thing.\u201d\u00a0<\/p>\n<\/div>\n

Read the full article here<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

Cloud computing providers are very aware that their customers are struggling for capacity. Surging demand has \u201ccaught the industry off guard a bit,\u201d says Chetan Kapoor, a director of product management at AWS. The time needed to acquire and install new GPUs in their data centers have put the cloud giants behind, and the specific […]<\/p>\n","protected":false},"author":1,"featured_media":10962,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"content-type":"","footnotes":""},"categories":[77],"tags":[],"class_list":{"0":"post-10961","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-startups"},"yoast_head":"\nNvidia Chip Shortages Leave AI Startups Scrambling for Computing Power | Brandiary<\/title>\n<meta name=\"description\" content=\"Cloud computing providers are very aware that their customers are struggling for capacity. Surging demand has \u201ccaught the industry off guard a bit,\u201d says\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/mysourcefunding.com\/?p=10961\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Nvidia Chip Shortages Leave AI Startups Scrambling for Computing Power | Brandiary\" \/>\n<meta property=\"og:description\" content=\"Cloud computing providers are very aware that their customers are struggling for capacity. Surging demand has \u201ccaught the industry off guard a bit,\u201d says\" \/>\n<meta property=\"og:url\" content=\"https:\/\/mysourcefunding.com\/?p=10961\" \/>\n<meta property=\"og:site_name\" content=\"Brandiary\" \/>\n<meta property=\"article:published_time\" content=\"2023-08-24T21:08:22+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2023-08-24T21:08:23+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/mysourcefunding.com\/wp-content\/uploads\/2023\/08\/Nvidia-GPU-Chip-Shortage-Gen-AI-Business-1258367086.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"1280\" \/>\n\t<meta property=\"og:image:height\" content=\"670\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"News Room\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"News Room\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"3 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\/\/mysourcefunding.com\/?p=10961#article\",\"isPartOf\":{\"@id\":\"https:\/\/mysourcefunding.com\/?p=10961\"},\"author\":{\"name\":\"News Room\",\"@id\":\"https:\/\/mysourcefunding.com\/#\/schema\/person\/5062dafb0f932b59aa228f1a047332f4\"},\"headline\":\"Nvidia Chip Shortages Leave AI Startups Scrambling for Computing Power\",\"datePublished\":\"2023-08-24T21:08:22+00:00\",\"dateModified\":\"2023-08-24T21:08:23+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\/\/mysourcefunding.com\/?p=10961\"},\"wordCount\":517,\"commentCount\":0,\"publisher\":{\"@id\":\"https:\/\/mysourcefunding.com\/#organization\"},\"articleSection\":[\"Startups\"],\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"CommentAction\",\"name\":\"Comment\",\"target\":[\"https:\/\/mysourcefunding.com\/?p=10961#respond\"]}]},{\"@type\":\"WebPage\",\"@id\":\"https:\/\/mysourcefunding.com\/?p=10961\",\"url\":\"https:\/\/mysourcefunding.com\/?p=10961\",\"name\":\"Nvidia Chip Shortages Leave AI Startups Scrambling for Computing Power | Brandiary\",\"isPartOf\":{\"@id\":\"https:\/\/mysourcefunding.com\/#website\"},\"datePublished\":\"2023-08-24T21:08:22+00:00\",\"dateModified\":\"2023-08-24T21:08:23+00:00\",\"description\":\"Cloud computing providers are very aware that their customers are struggling for capacity. Surging demand has \u201ccaught the industry off guard a bit,\u201d says\",\"breadcrumb\":{\"@id\":\"https:\/\/mysourcefunding.com\/?p=10961#breadcrumb\"},\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\/\/mysourcefunding.com\/?p=10961\"]}]},{\"@type\":\"BreadcrumbList\",\"@id\":\"https:\/\/mysourcefunding.com\/?p=10961#breadcrumb\",\"itemListElement\":[{\"@type\":\"ListItem\",\"position\":1,\"name\":\"Home\",\"item\":\"https:\/\/mysourcefunding.com\/\"},{\"@type\":\"ListItem\",\"position\":2,\"name\":\"Nvidia Chip Shortages Leave AI Startups Scrambling for Computing Power\"}]},{\"@type\":\"WebSite\",\"@id\":\"https:\/\/mysourcefunding.com\/#website\",\"url\":\"https:\/\/mysourcefunding.com\/\",\"name\":\"Brandiary\",\"description\":\"Latest Business and Startup News and Updates\",\"publisher\":{\"@id\":\"https:\/\/mysourcefunding.com\/#organization\"},\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":{\"@type\":\"EntryPoint\",\"urlTemplate\":\"https:\/\/mysourcefunding.com\/?s={search_term_string}\"},\"query-input\":\"required name=search_term_string\"}],\"inLanguage\":\"en-US\"},{\"@type\":\"Organization\",\"@id\":\"https:\/\/mysourcefunding.com\/#organization\",\"name\":\"Brandiary\",\"url\":\"https:\/\/mysourcefunding.com\/\",\"logo\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/mysourcefunding.com\/#\/schema\/logo\/image\/\",\"url\":\"https:\/\/mysourcefunding.com\/wp-content\/uploads\/2023\/06\/b-logo-1.png\",\"contentUrl\":\"https:\/\/mysourcefunding.com\/wp-content\/uploads\/2023\/06\/b-logo-1.png\",\"width\":381,\"height\":100,\"caption\":\"Brandiary\"},\"image\":{\"@id\":\"https:\/\/mysourcefunding.com\/#\/schema\/logo\/image\/\"}},{\"@type\":\"Person\",\"@id\":\"https:\/\/mysourcefunding.com\/#\/schema\/person\/5062dafb0f932b59aa228f1a047332f4\",\"name\":\"News Room\",\"image\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/mysourcefunding.com\/#\/schema\/person\/image\/\",\"url\":\"https:\/\/mysourcefunding.com\/wp-content\/uploads\/2023\/06\/avatar_user_1_1688031660-96x96.png\",\"contentUrl\":\"https:\/\/mysourcefunding.com\/wp-content\/uploads\/2023\/06\/avatar_user_1_1688031660-96x96.png\",\"caption\":\"News Room\"},\"sameAs\":[\"https:\/\/mysourcefunding.com\"],\"url\":\"https:\/\/mysourcefunding.com\/?author=1\"}]}<\/script>\n<!-- \/ Yoast SEO plugin. -->","yoast_head_json":{"title":"Nvidia Chip Shortages Leave AI Startups Scrambling for Computing Power | Brandiary","description":"Cloud computing providers are very aware that their customers are struggling for capacity. Surging demand has \u201ccaught the industry off guard a bit,\u201d says","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/mysourcefunding.com\/?p=10961","og_locale":"en_US","og_type":"article","og_title":"Nvidia Chip Shortages Leave AI Startups Scrambling for Computing Power | Brandiary","og_description":"Cloud computing providers are very aware that their customers are struggling for capacity. Surging demand has \u201ccaught the industry off guard a bit,\u201d says","og_url":"https:\/\/mysourcefunding.com\/?p=10961","og_site_name":"Brandiary","article_published_time":"2023-08-24T21:08:22+00:00","article_modified_time":"2023-08-24T21:08:23+00:00","og_image":[{"width":1280,"height":670,"url":"https:\/\/mysourcefunding.com\/wp-content\/uploads\/2023\/08\/Nvidia-GPU-Chip-Shortage-Gen-AI-Business-1258367086.jpg","type":"image\/jpeg"}],"author":"News Room","twitter_card":"summary_large_image","twitter_misc":{"Written by":"News Room","Est. reading time":"3 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"Article","@id":"https:\/\/mysourcefunding.com\/?p=10961#article","isPartOf":{"@id":"https:\/\/mysourcefunding.com\/?p=10961"},"author":{"name":"News Room","@id":"https:\/\/mysourcefunding.com\/#\/schema\/person\/5062dafb0f932b59aa228f1a047332f4"},"headline":"Nvidia Chip Shortages Leave AI Startups Scrambling for Computing Power","datePublished":"2023-08-24T21:08:22+00:00","dateModified":"2023-08-24T21:08:23+00:00","mainEntityOfPage":{"@id":"https:\/\/mysourcefunding.com\/?p=10961"},"wordCount":517,"commentCount":0,"publisher":{"@id":"https:\/\/mysourcefunding.com\/#organization"},"articleSection":["Startups"],"inLanguage":"en-US","potentialAction":[{"@type":"CommentAction","name":"Comment","target":["https:\/\/mysourcefunding.com\/?p=10961#respond"]}]},{"@type":"WebPage","@id":"https:\/\/mysourcefunding.com\/?p=10961","url":"https:\/\/mysourcefunding.com\/?p=10961","name":"Nvidia Chip Shortages Leave AI Startups Scrambling for Computing Power | Brandiary","isPartOf":{"@id":"https:\/\/mysourcefunding.com\/#website"},"datePublished":"2023-08-24T21:08:22+00:00","dateModified":"2023-08-24T21:08:23+00:00","description":"Cloud computing providers are very aware that their customers are struggling for capacity. Surging demand has \u201ccaught the industry off guard a bit,\u201d says","breadcrumb":{"@id":"https:\/\/mysourcefunding.com\/?p=10961#breadcrumb"},"inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/mysourcefunding.com\/?p=10961"]}]},{"@type":"BreadcrumbList","@id":"https:\/\/mysourcefunding.com\/?p=10961#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/mysourcefunding.com\/"},{"@type":"ListItem","position":2,"name":"Nvidia Chip Shortages Leave AI Startups Scrambling for Computing Power"}]},{"@type":"WebSite","@id":"https:\/\/mysourcefunding.com\/#website","url":"https:\/\/mysourcefunding.com\/","name":"Brandiary","description":"Latest Business and Startup News and Updates","publisher":{"@id":"https:\/\/mysourcefunding.com\/#organization"},"potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/mysourcefunding.com\/?s={search_term_string}"},"query-input":"required name=search_term_string"}],"inLanguage":"en-US"},{"@type":"Organization","@id":"https:\/\/mysourcefunding.com\/#organization","name":"Brandiary","url":"https:\/\/mysourcefunding.com\/","logo":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/mysourcefunding.com\/#\/schema\/logo\/image\/","url":"https:\/\/mysourcefunding.com\/wp-content\/uploads\/2023\/06\/b-logo-1.png","contentUrl":"https:\/\/mysourcefunding.com\/wp-content\/uploads\/2023\/06\/b-logo-1.png","width":381,"height":100,"caption":"Brandiary"},"image":{"@id":"https:\/\/mysourcefunding.com\/#\/schema\/logo\/image\/"}},{"@type":"Person","@id":"https:\/\/mysourcefunding.com\/#\/schema\/person\/5062dafb0f932b59aa228f1a047332f4","name":"News Room","image":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/mysourcefunding.com\/#\/schema\/person\/image\/","url":"https:\/\/mysourcefunding.com\/wp-content\/uploads\/2023\/06\/avatar_user_1_1688031660-96x96.png","contentUrl":"https:\/\/mysourcefunding.com\/wp-content\/uploads\/2023\/06\/avatar_user_1_1688031660-96x96.png","caption":"News Room"},"sameAs":["https:\/\/mysourcefunding.com"],"url":"https:\/\/mysourcefunding.com\/?author=1"}]}},"_links":{"self":[{"href":"https:\/\/mysourcefunding.com\/index.php?rest_route=\/wp\/v2\/posts\/10961","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/mysourcefunding.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/mysourcefunding.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/mysourcefunding.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/mysourcefunding.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=10961"}],"version-history":[{"count":1,"href":"https:\/\/mysourcefunding.com\/index.php?rest_route=\/wp\/v2\/posts\/10961\/revisions"}],"predecessor-version":[{"id":10963,"href":"https:\/\/mysourcefunding.com\/index.php?rest_route=\/wp\/v2\/posts\/10961\/revisions\/10963"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/mysourcefunding.com\/index.php?rest_route=\/wp\/v2\/media\/10962"}],"wp:attachment":[{"href":"https:\/\/mysourcefunding.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=10961"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/mysourcefunding.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=10961"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/mysourcefunding.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=10961"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}