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Nvidia’s Blackwell overheating problem threatens AI expansion and investor confidence

Article by Gadjo Sevilla  |  Nov 18, 2024
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Nvidia’s Blackwell overheating problem threatens AI expansion and investor confidence
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Topics
Computers
Artificial Intelligence (AI)
Business Strategies & Trends
United States

The news: Nvidia’s flagship Blackwell AI hardware, crucial to its 2025 growth strategy, is overheating in server racks, prompting rushed redesigns and raising concerns about AI deployment that’s reliant on AI servers and data centers.

Blackwell graphics processing units (GPUs) were scheduled to start shipping in Q4. Their potential delay could push back wider AI expansion for customers like Amazon Web Services (AWS), Meta, Microsoft, and SoftBank.

Bad tidings for Blackwell? Overheating problems were discovered late in production, per The Information. The company is redesigning their server racks, which could delay deliveries.

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