Over the past few weeks, several US banks have pulled off from lending to Oracle for expanding its AI data centres, as per a report.
This looks desperate. They already sold $300B worth of data center capacity to OpenAI and this move will save them up to $10B.
They’re supposedly depreciating their GPUs over 7 years. Apparently these data center GPUs are only used for about 3, as the generational improvements in efficiency almost dictate you replace them + the first stragglers start failing around that mark anyway
They could actually be proper fucked financially if they’re cooking their books like that to seem more profitable than they are.
Also, I doubt a GPU that’s been on blast 24/7 for the last couple of years will be worth much at auction. Might as well bury them in the same landfill as the data center.
These GPUs are useless outside of data centers anyway. Take the current gen, the B200. No DirectX or Vulkan support or even OpenGL I believe. Power usage about a kilowatt. SXM rather than PCI-E so it’s not like you can run it on a desktop motherboard.
They’re literally e-waste after a few years. And they’re 40-50k per GPU, but often bought as a full system with 8 GPUs in it, for a couple hundred thousand.
