19 points bobsoap 2 hours ago 6 comments

bobsoap 2 hours ago | parent

Title: Instead Of Lowering GPU Prices, Former NVIDIA CEO Jensen Huang Reportedly Financed AI Startups To Absorb Excess Silicon, Shattering The Shortage Perception

WSJ article (paywall): https://www.wsj.com/tech/jensen-huang-colette-kress-nvidia-c...

Archive link: https://archive.ph/gx14x

Kevin_Flynn 1 hour ago | parent

I read the article, and it doesn't say he did that.

The article sounds to me like Jensen was attempting to maximize revenues and profits for the company he ran, like a CEO is supposed to.

Is Nvidia profiting from globally constrained wafer capacity ? Absolutely.

Does their strategy account for supply constraints ? Absolutely.

Isn't this what corporations are supposed to do ? Adapt, pivot, profit ?

I think everyones just jealous and frustrated right now, and the frustrated decided they didnt want to see leather jacket man getting laid while sipping Dom.

People are petty like that, especially in large crowds.

win311fwg 12 minutes ago | parent

As dubious as it is, if the claim of Huang manufacturing a shortage is true then revenue was not maximized.

A shortage occurs when demand exceeds supply. In a normally functioning market price rises to see demand back away until demand meets supply. In order for demand to continue exceed supply, a shortage, you must have a situation where price is prevented from rising, which, if Huang was behind it, means that Huang was purposefully rejecting better offers to keep the price below the market value. Thus revenue was artificially capped below what could have been.

bamboozled 6 minutes ago | parent

One thing that I find quite amazing about this whole event is the way in which cheating is now much much more acceptable than in the past...not saying it's a good or a bad thing, but it's pretty wild how many people are like, "The guy was just doing what rich guys do..."