AWS Halts Orders of Nvidia's Hopper Chip to Await Grace Blackwell Model

May 21, 2024, 01:21 PM

Amazon's cloud computing arm, Amazon Web Services (AWS), has halted orders of Nvidia's most advanced 'superchip' to await a more powerful new model, according to the Financial Times. The decision to pause orders of the current AI chips, known as the Hopper chip, is due to the anticipated release of Nvidia's upcoming superchip, the Grace Blackwell model. This new chip is expected to be twice as powerful for AI tasks such as training large models. The delay has caused investor concerns about a potential dip in demand for Nvidia's products, with some fearing an 'air pocket' in demand between product cycles. Nvidia, valued at $2.3 trillion, is a leading player in the AI chip market.