Eksentricity

Nvidia Delays New AI Chip Due to Late-Stage Design Flaw

August 3, 2024

Production Delay: Nvidia’s “Blackwell” B200 AI chips will face at least a three-month production delay due to a design flaw.
High Demand: Major tech firms, including Microsoft, Google, and Meta, have ordered “tens of billions of dollars” worth of these chips.
Future Availability: Nvidia expects large-scale shipments to begin in the first quarter of the next year.

Supply Chain Disruption: The delay could impact cloud service providers and businesses relying on new AI hardware for expansion.
Market Competition: The delay gives competitors like AMD an opportunity to catch up in the AI chip market.
Nvidia’s Market Dominance: The delay may affect Nvidia’s momentum in the AI chip market, where it has been a leader.
Customer Adjustments: Companies like Microsoft and Google may need to adjust their AI development timelines due to the delay.